DRY CARGO MARKET
Dry bulk cargo is in general raw material shipped in large un-packaged amounts. About 5.1 billion tonnes were shipped worldwide in 2016.
Major Dry Bulk Cargoes
Iron Ore (around 1.5 billion tonnes shipped per year; mainly from Australia and Brazil; mainly in Capesizes; around 8,300 cargoes 180,000 dwt; about 70% goes to China; low seasonal effect cargo).
Coal (around 1.25 billion tonnes shipped per year; coking coal for metallurgical purposes ca. 25%, thermal/steam coal for producing heat ca. 75%; mainly from Indonesia, Australia, Russia Colombia and South Africa; mainly in Capes and Panamaxes; mainly to China, India, Japan, South Korea and EU; mid-seasonal effect cargo).
Grains (around 500 million tonnes of wheat/coarse grain & soybean shipped per year; mainly from US, Brazil, Argentine, EU, Ukraine, Russia, Canada and Australia; mainly in Panamaxes, Supramaxes and Handysizes; mainly to China, Japan, Egypt, EU, Saudi Arabia, South Korea and Iran; high seasonal effect cargo).
Minor Dry Bulk Cargo
Around 1.71 billion tonnes shipped per year of steels, metals, minerals, cement, agricultural & forest products, fertilizer etc.
Dry Bulk Ships
Around 40% of the world merchant fleet are dry bulk cargo ships. From this total about 10% Capes of more than 100,000dwt; 20% Panamaxes of 60-90,000 dwt; 37% Supramaxes of 40-60,000dwt; 33% Handysizes of 15-40,000 dwt.
A Complex Market
Volatility, seasonal fluctuation, cyclical development and a delicate balance between supply and demand characterize the shipping industry. Cargo volumes on the global market may grow, but not everywhere and not for every type of cargo. Matured markets will show lower levels. Developing markets can provide better earnings. Having a finger on the pulse of the freight market is essential.