International Grain Future Freight(Sep.11-Sep.15)

Oct 9, 2017

Week 37, 2017 (Sep.11-Sep.15), the International Grain Future Freight (IGF) reported the Panamax forward freight rate of U.S. Gulf-Tianjin route (soybean) from Jan. to Mar. in 2018, and the trend is shown in the chart below.

The influence of the weather on the growth of soybeans was not over. Dry weather expectation in Midwestern United States brought pressure to the ripening of the soybean crops in late sowing stage and Cyclone Irma could flood some soybean growing areas. It can be seen from USDA data that the good growth rate of soybean was 60% this week and it was 61% in last week and was 73% in the same period of last year.

In terms of the shipping market, the market of the Panamax was active and the future freight rate continued to increase this week. The future freight increased on Sep.11 (Mon.). The increase trend continued in the following four release days and the future freight increased 3.11% from Sep.12 to Sep.15 (Tue. to Fri.). Finally, the future freight rate closed at $41.50/ton with an increase of 3.43% from Sep.8 (the last release day of Week 36).

Source from : Shipping Indices