LONDON (Scrap Register): The main sea freight index at Baltic Exchange for ships carrying dry bulk commodities gained further to 1296 points on Thursday led by higher panamax and supramax rates.
The Baltic Dry Index, which provides an assessment of the price of moving the major raw materials – such as coal, iron ore and grain – by sea by taking in 23 shipping routes measured on a time charter basis, jumped by another 14 points to 1296 points on Thursday. In late March, the BDI capped at 1338 points – its highest price point since late 2014.
Part of the reason for the recent strength in the panamax component of the BDI is harvest season, which is underway and has increased the amount of grain and soft commodity cargoes. More cargoes mean shippers can boost their rates.