Black Sea and Baltic Sea market report – May 16th..MTS Shipping and Trading Ltd.

Freight rates during the first two weeks of May have been steady with a downward inclination. However, we can say that the owners try to push up the rates at the slightest sign of activity. Grain season will be the determining factor in June.. The initiation of the grain season has not yet shown its strengthening impact fully on the freight rates for this region. So far the seasonal impact has been observed on the bunker prices; however, this has not yet been reflected to the overall freight prices. The extent of uplifting effect on the rates is expected to start to become clear in full in June. Market level for representative cargoes in given destinations can be indicated as follows: • Average freight rate from Rostov; for scrap shipment on Volgodon type vessel of around 5,000 mt deadweight, estimated intake around 3,700 mt, for shipment to Marmara Sea at around $29-30/mt, for shipment to Nemrut at $31-32/mt. • Average freight rate from Ukrainian Black Sea port; for billet cargoes of approximately 15,000 mt vessel for shipment to Italian Adriatic port; at around $19-20/mt • Average freight rate from Mariupol for 5,000 mt hot rolled coil shipment on FILO basis to Ashdod at around $28-30/mt, from Odessa at around $26-28/mt. • Average freight rate from Mariupol for 3,000 mt hot rolled coil shipment to Marmara at around $18/mt. MTS Shipping and Trading Ltd. Phn: +90 212 2708100 Fax: +90 212 2843990 Email: shipping@mtsist.com WEB: www.mtsist.com