The Toepfer Multipurpose Index (TMI) Index which represents the daily average time charter rate assessment- established by a panel of operators, owners and Brokers for a 6-12 months’ time-charter for a 12500 ton DWT saw its average daily MPP/HL “F”Type Vessel, reported monthly saw the rates decline yet another 3.98% for the month to end at USD 13,545. The rates which have now succumbed to a two-year low (its lowest since August-2021) have been weakened further due to the summer activity and incumbent competition from the other sectors of freight.
The rates have lost 42.36% ever since the peak of USD 23,099 reported in July 2022. Despite what was the largest percentage dip witnessed by the index, over the last 6 months, the rates have been about 83% higher than the last pre-pandemic quote and about 13.6% north of the 5-year average of USD 11,921. At the same time, the level is about 6% higher than the key retracement level of USD 12,773. Toepfer’s has maintained a slightly positive outlook for the next year citing, “The sentiment remains optimistic with an expectation of the index rate to rise by 5.17 percent until August 2024.”
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.