Region: Volga-don basin, the Azov sea, Black sea, Caspian sea
Price fluctuations in the commodities market contribute in the 28th week of uncertainty and on the freight market. On Western exchanges grow quotations of grain, followed by increase prices by domestic producers, which, although trying for a balanced approach to sales, but their actions still lead to a substantial difference in the determination of equilibrium prices between the parties to the negotiations. Customers ' expectations that the market will push down the grain of the new harvest are not justified. Grain prices, as has happened before, not falling.
On the Azov freight market continues growth against the background of the execution of contracts concluded earlier. However, the work is more of a positions spot/prompt and long-term contracts, with the exception of work for the transshipment, while it is not. If at the beginning of the reporting week, the rate on the basis of Rostov for Samsun was around $15-16 per tonne of wheat, by the end of the week for flights with shipping in July, it grew by at least $3. The owners thought comfortable rates from the Azov ports on the black sea coast of Turkey about $18-19 per ton of cargo. On the basis of the development of the situation in the commodity market, dynamics of August can be predicted already at 30 weeks.
Weather in the black sea region negatively affects the course of harvesting. Due to continuous rains in the Ukraine slowed down the harvest. As a consequence of the black sea ports of the country shipments are still not enough to ensure the stable growth of the market. In the reporting week, the rate of Ukrainian ports in the Eastern Mediterranean and the Adriatic hovered around $18-20 per ton of cargo for parties of 6-10 tons.
A growing number of Russian-flag fleet switch to RAID handling. This is due to the rapid growth rates in this segment of the market because of the need to perform large contracts. If the main part of the Russian-flag fleet will go to transshipment, the rates for direct flights from river elevators because of a shortage of ships rapidly goes up.
Caspian froze in anticipation of the new harvest grain. On the basis of the open positions of the fleet and the level of discussing bets on the Caspian market, it is clear that the active growth in this region has not yet begun. The reason is that the bulk of the already harvested grain from the Krasnodar region is spent on shipments from deepwater ports and RAID, and the number of transactions, which is in this region, due to the high price of grain does not give rates to rise. By the end of the month it is expected that the situation will change. On the market in late July - early August should see the barley from the Central regions of Russia.
Translated by service "Yandex.Translation"