The Toepfer’s Multipurpose Index (TMI) went back to its falling ways, post a mini-blip for June 2023 after the rates slid by USD315 to USD14,106. The drop of -2.18% was its highest percentage drop in 5 months ever since February 2023. Incidentally, TMI hit its peak in July 2022 at USD23,009, a 39% drop since then. The spillover effect of fall in container prices and bulk prices to new multi-year lows have knocked down the Multi-purpose fleet prices too, besides the effect of a weak spot market. For the Project Cargo Industry, demands from the energy sector in-line with the winter forecasts would be key to understand the rate action. With the Pre-autumn peak set to begin Mid-August- it also remains to be seen how much of an effect this can have for sectors like Container Freight, so as to understand the quantum of loose and mini-bulk cargo booked on board these vessels.
Drewry, has in fact commented that the present scenario sees a lot of competition from dry bulk, Ro-Ro and container segments for the breakbulk pie. The Drewry Multipurpose Time Charter Index too cooled off about a percent to end at USD8,912 in -line with its previous commentary. Drewry has in fact estimated the index to hit a quote of USD8,809 per day, which would be a drop of 1.2% from the present quote.
Acknowledgments go to our guest writer, Mr. Gautham Krishnan, for his valuable contribution to the article.
Author of the article- Gautham Krishnan: Gautham Krishnan is a logistics professional with Fluor Corporation, in the area of project logistics and analytics, and has worked in the areas of Project Management, Business Development and Government Consulting.
