International Grain Future Freight (Nov.13-Nov.17)

Nov 24, 2017

Week 46, 2017 (Nov.13-Nov.17), the International Grain Future Freight (IGF) reported the Panamax forward freight rate of U.S. Gulf-Tianjin route (soybean) from Mar. to May. 2018, and the trend is shown in the chart below.

Due to the rain in mid-west area, the Brazil farmers increased the speed of sowing and the progress was increased. Now, the sowing progress in Brazil was completed 43%, which was still lower than 53% in the same period of last year but was the same with five years average (44%). In the next week, there would be rain in main production area, which was good for the sowing and growth of soybean.

In terms of the shipping market, the future freight rate decreased significantly. On Nov.13 (Mon.), the FFA was the same with last week. On Nov.14 (Tue.) the FFA decreased slightly and kept stable on Nov.15 (Wed.). From Nov.16 to Nov.17 (Thu. to Fri.), the FFA decreased continuously. Finally, the IGF closed at $31.50/ton with a decrease of 2.70% from Nov.10 (the last release day of Week 45).

Source from : Shipping Indices