Freight & Bunkers News

Jun 01 - UN tries to save Black Sea grain deal with 'mutually beneficial' proposal -source
The U.N. has proposed that Kyiv, Moscow and Ankara start preparatory work for the transit of Russian ammonia through Ukraine as it tries to salvage a deal allowing safe Black Sea grain exports, a source close to the talks said on Wednesday. As the preparatory work starts, the U.N. wants parallel talks to be held on widening the Black Sea deal that was agreed last July to include more Ukrainian ports and other cargoes, said the source, who spoke to Reuters on condition of anonymity.

Jun 01 - Brazil makes rare soybean sales to US, shipping data shows
Brazil is exporting 178,800 tonnes of soybeans to buyers in the United States, shipping data seen by Reuters showed, as the price of the oilseed in the South American country, the world's largest soybean supplier, is a bargain even for importers in the No. 2 producing nation. According to May 30 data from Williams, a shipping agency, three vessels loaded with Brazilian soybeans will leave ports in the northern part of the South American nation between June 4 and June 11.

May 31 - Brazil's biggest private port terminal to move record volumes as grain output soars
Cargo handling at Brazil's largest private port terminal Tiplam at Santos is expected to grow 6.8% to a record 12.5 million tonnes in 2023, driven by the country's record grain production and strong demand for agricultural commodities from China. With flexibility to move sugar, soy, corn and fertilizers, the terminal's owner anticipates challenges as corn and sugar will compete for space early in the second half.

May 31 - United States buyers purchased about 60,000 tonnes EU wheat
Buyers in the United States are believed to have purchased about 60,000 tonnes of European Union origin wheat expected to be sourced about half each from Poland and Germany, European traders said on Tuesday. Shipment was believed to be in July.

May 31 - Freightos Weekly Data Overview

- Asia-US West Coast prices (FBX01 Weekly) fell 15% to $1,309/FEU. This rate is 89% lower than the same time last year.
- Asia-US East Coast prices (FBX03 Weekly) were level at $2,328/FEU, and are 84% lower than rates for this week last year.
- Asia-N. Europe prices (FBX11 Weekly) ticked up 3% to $1,420/FEU, and are 87% lower than rates for this week last year.

- Ocean rates across the major tradelanes may be reaching their new floor. With the exception of prices for Asia - Mediterranean service, which, at more than $2,400/FEU remain 40% higher than pre-pandemic levels on resilient demand, ex-Asia and transatlantic rates are all about on par with May 2019 rates.

Asia - US West Coast prices dropped 15% last week and are about 25% below the level achieved through mid-April GRIs. But at $1,300/FEU rates remain well above the lows seen in March, as carriers blanked fewer sailings in May than in April but are managing capacity enough to keep prices from collapsing again.

As congestion has dissipated with easing volumes, transit times and schedule reliability improved again in April, but carriers blanking sailings and slowing sailing speeds to help reduce effective capacity may be contributing to reliability and transit times that still remain above pre-pandemic levels.

June GRIs are unlikely based on current demand trends, though low-water weight limits and surcharges for shipments passing through the Panama Canal starting in June could put upward pressure on rates, especially for Asia - US East Coast containers.

Consumer spending in the US increased in April and some measures of inflation climbed too. These factors may make additional interest rate hikes in June more likely, which could dampen consumer demand along with bringing down inflation.

The current disconnect between consumer behavior and freight volumes is likely due to a mix of a shift in spending toward services and toward different types of goods than those in demand during the pandemic, and to inventory surpluses built up in the first half of last year.

This build up could prolong the freight recession even if the economy avoids a recession, which is one factor in some expectations for a subdued back-to-school season for logistics providers even if actual back-to-school spending is on par with last year.

The above are leading to speculation that – if it arrives at all – freight peak season will be later than usual, concentrated in September and October. A soon-to-be released Freightos survey of SMB importers using the freightos.com marketplace found that only about half of SMB importers expect to increase their shipping activity during peak season this year, with about 40% still contending with excess inventory.

May 30 - Lavrov warns West: Black Sea grain deal is in danger of collapse
Russia warned the West on Monday that a deal allowing Ukrainian grain to be exported from the Black Sea would cease unless a United Nations agreement aimed at overcoming obstacles to Russian grain and fertiliser exports was fulfilled. The United Nations and Turkey brokered the Black Sea deal for an initial 120 days in July last year to help tackle a global food crisis that has been aggravated by Moscow's invasion of Ukraine, one of the world's leading grain exporters.

May 30 - Second U.N.-facilitated shipment of Russian fertilizer from EU reaches Africa - Uralchem
A second shipment of Russian-origin fertilizer facilitated by the United Nations' World Food Programme has arrived in Africa from the European Union, containing 34,000 tonnes of fertiliser, Russia's Uralchem said on Monday. The consignment was under Uralchem-Uralkali Group's name and arrived in Kenya.

May 29 - Black Sea grain deal slow to get moving after extension
A deal allowing the safe wartime export of grain and fertilizer from Ukrainian Black Sea ports has not yet resumed full operations, the United Nations said on Friday, having come to a halt before Russia's decision last week to extend it. The pact called the Black Sea Grain Initiative, brokered by the United Nations and Turkey last July with Russia and Ukraine to try to ease a global food crisis aggravated by Moscow's invasion of Ukraine, covers three ports, but no ships have been authorized to travel to Pivdennyi (Yuzhny) port since April 29, the U.N. said.

May 26 - Egypt defers payments for wheat imports amid dollar crunch
Egypt has deferred payments for its large wheat purchases, in some cases by months, according to a government official and traders, as the country grapples with a shortage of hard currency. Egypt is one of the world's biggest wheat importers and uses the purchases to make heavily subsidised bread, a politically sensitive benefit available to tens of millions of people.

May 26 - Black Sea grain deal uncertainties stall Ukraine shipments
Dozens of ships are unable to reach Ukraine, days after a Black Sea grain deal was extended and the pace of shipments is unlikely to pick up because of slow inspections and other uncertainties, according to data and three sources. Nearly 40 dry bulk vessels were stationary around Istanbul in areas that have been used for inspections by a joint inspection team representing Russia, Ukraine and Turkey as well as the UN, analysis from global trade analytics platform Kpler showed.

May 24 - Freightos Data Overview (Freightos)

- Asia-US West Coast prices (FBX01 Weekly) increased 8% to $1,540/FEU. This rate is 89% lower than the same time last year.
- Asia-US East Coast prices (FBX03 Weekly) dipped 2% to $2,321/FEU, and are 85% lower than rates for this week last year.
- Asia-N. Europe prices (FBX11 Weekly) were stable at $1,385/FEU, and are 87% lower than rates for this week last year.

Ocean rates from Asia to the US West Coast edged up last week, though prices are still 11% lower than a month ago. Rates for the other ex-Asia lanes were stable and transatlantic prices dipped another 4%.

With many long term contracts still not finalized though, carriers may attempt another transpacific GRI in June – whose success would likely entail a significant increase in blanked siblings – to push more shippers and forwarders to seal deals at acceptable levels for carriers, as done in April.

Another factor that could push rates up, especially for Asia - US East Coast containers, is the drought-driven low water level in the Panama Canal. Carriers have announced weight limits and surcharges of several hundred dollars per container for shipments passing through the canal starting in June. If these increased costs push some demand back to the West Coast, there could be some impact for West Coast rates as well.

But prospects overall for the timing and strength of a rebound in volumes and rates – or the appearance of a rebound at all – remain quite uncertain and depend on consumer demand, inventories, and sourcing decisions.

The latest data on US consumer spending showed some resilience, but while spending increased in April in some areas of retail, there was also a shift away from big ticket – and bulky – items like home goods, and concerns that rising interest rates will slow inflation but also push the economy into recession in H2 could dampen consumer demand just as freight approaches its typical peak months.

Another big driver for the current freight recession – despite relative strength in spending – has been overstocked inventories. And though major retailers are not all in the same boat, one of the biggest, Target, reported this week that inventories are under control and that they are gearing up for new ordering – a good sign for freight demand if this is also the case for enough other importers, and if demand holds up.

But Target executives also said they are focusing on "inventory efficiency" this year, which could mean a return to just in time importing, or as the Port of LA Director put it "a relatively short peak season between the months of September and October," driven also by uncertainty on consumer demand.

May 24 - Ukraine says Russia prevents Black Sea grain deal port operating
Ukraine accused Russia on Tuesday of effectively cutting the Ukrainian port of Pivdennyi out of a deal allowing safe Black Sea grain exports as Russia complained that it had been unable to export ammonia via a pipeline to Pivdennyi under the pact. The Black Sea deal - brokered last July by the United Nations and Turkey and extended last week for two months - covers the wartime export of food and fertiliser from the Ukrainian ports of Odesa, Chornomorsk and Pivdennyi.

May 23 - UN concerned by lack of grain ships going to one Ukrainian port
The United Nations expressed concern on Monday that Ukraine's Black Sea port of Pivdennyi (Yuzhny) has not received any ships since May 2 under a deal allowing the safe wartime export of grain and fertilizer.  U.N. spokesman Stephane Dujarric did not say who was to blame for the lack of ships traveling to the port, near Odesa, which is also where Russia used to pump up to 2.5 million tonnes of ammonia annually for export via a pipeline from Togliati.

May 23 - Export prices for Russian wheat continue to decline after grain deal extension
Export prices of Russian wheat fell again last week as the world market eased due to good supply and an extension of the Black Sea grain deal, as well as local expectations of a cut in export duty, analysts said. The deal to allow Ukraine to export its grain safely across the Black Sea was extended last week for two months.

May 22 - China's soybean imports from Brazil fall further in April
China's soybean imports from Brazil fell 16% in April compared with the same month a year ago, data showed on Saturday, keeping supplies from the South American nation well behind last year's level after delays to its harvest. The world's top buyer of soybeans imported 5.3 million tonnes of the oilseed from Brazil, its largest supplier, versus 6.3 million tonnes a year earlier, General Administration of Customs data showed.

May 19 - Three new ships approved for Black Sea grain deal after Russia renewal
Three new ships were authorized on Thursday to take part in a deal allowing the safe Black Sea export of Ukraine grain, said the United Nations as global wheat prices fell further a day after Russia agreed to extend the pact for 60 more days. The Kremlin said on Thursday it had extended the agreement because some results from talks had given it "certain hopes", but more progress needed to be made.

May 18 - Ukraine Black Sea grain deal extended for two months
The Ukraine Black Sea grain deal has been extended for two more months, in what U.N. Secretary-General Antonio Guterres hailed as "good news for the world," a day before Russia could have quit the pact over obstacles to its grain and fertiliser exports. Turkish President Tayyip Erdogan announced the extension in a televised speech and it was later confirmed by Russia, Ukraine and the United Nations.

May 18 - South Korea’s KFA bought about 68,000 tonnes corn in private deal
The Korea Feed Association (KFA) in South Korea purchased about 68,000 tonnes of animal feed corn expected to be sourced from either South America or South Africa in a private deal on Tuesday without issuing an international tender, European traders said on Wednesday. It was purchased by the KFA’s Busan section from trading house Viterra at an estimated $258.75 a tonne c&f plus a $1.25 a tonne surcharge for additional port unloading for arrival in South Korea around Oct. 20.

May 17 - FBX Weekly Overview (Freightos)

- Asia-US West Coast prices (FBX01 Weekly) decreased 6% to $1,430/FEU. This rate is 88% lower than the same time last year.
- Asia-US East Coast prices (FBX03 Weekly) dipped 1% to $2,379/FEU, and are 85% lower than rates for this week last year.
- Asia-N. Europe prices (FBX11 Weekly) also fell 1% to $1,379/FEU, and are 87% lower than rates a year ago.

Transpacific ocean spot rates continued to ease last week, with prices to the West Coast now down 18% from their GRI-driven mid-April climb. Some observers see early signs of a rate war in this retreat, and indeed, a smaller share of capacity has been removed in May compared to April even as rates have declined.

Carriers are nonetheless reportedly planning June GRIs on the transpacific, though there is skepticism these will result in more increases unless significantly more capacity is removed as demand is projected to increase only gradually into next month.

Some retailers, including many in the apparel industry, are still contending with inventory surpluses and may wait until as late as the fall –  when they hope to have less stock and a better sense of consumer demand – to place their peak season orders.

On the Asia - N. Europe lane – where rates have been stable overall at about $1,400/FEU since mid-March and are on par with 2019 levels – alongside blanked sailing strategies, some carriers are actually adding vessels but slowing sailing speeds enough to add days to transit times and reduce effective capacity levels.

Asia - Mediterranean rates have now fallen 81% since a year ago, but at $2,441/FEU prices on this lane have proven more resilient than Asia - Europe rates. Spot prices to Mediterranean ports are still 32% higher than in 2019, and as demand has held up and Q1 volumes actually increased compared to a year ago, some carriers are increasing capacity on this lane.

In air cargo, hope for a demand and rate rebound before the fall peak season months may be fading, as volumes decline and capacity continues to recover. Freightos Air Index data for last week had Asia - Europe rates at $3.57/kg, 57% lower than a year ago, and Asia - N. America rates of $4.03/kg were more than 70% lower than this week last year.

May 17 - Last ship to leave Ukraine as fate of Black Sea grain deal in Russia's hands
The last ship is due to leave a port in Ukraine under a deal allowing the safe Black Sea export of Ukraine grain, said a U.N. spokesperson, a day before Russia could quit the pact over obstacles to its grain and fertilizer exports. The United Nations and Turkey brokered the Black Sea deal for an initial 120 days in July last year to help tackle a global food crisis that has been aggravated by Moscow's invasion of Ukraine, one of the world's leading grain exporters.

May 16 - Export prices for Russian wheat continue to decline on sluggish demand - IKAR
Export prices for Russian wheat continued to decline last week amid low demand and weakening global markets, and stormy weather affected volumes, analysts said. Prices for Russian wheat with 12.5% protein content, delivered free on board (FOB) from the Black Sea in June, were $248 a tonne, down $6 from last week, the IKAR agriculture consultancy said.

May 16 - Platts launches tanker freight rates to reflect costs of new fuels
Platts, part of S&P Global Commodity Insights, has launched new price assessments for tanker base freight rates that factor in pricing for alternative fuels, the agency said. The move comes as the agency expects the maritime sector's use of alternative fuels, such as liquefied natural gas (LNG) to grow significantly in the next few years.

May 15 - China steps up sampling of soy cargoes, adding to costly delays, traders say
China is significantly increasing the rate of inspections on imported soybean cargoes, three soybean traders told Reuters on Friday, lengthening already slow and costly clearing times in the world's top buyer of beans. China last month introduced new procedures at customs for discharging soybeans, which had already delayed clearing times and pushed up costs for buyers of the world's most-traded protein source.

May 15 - South Korea’s NOFI buys estimated 132,000 tonnes corn in tender
Leading South Korean animal feed maker Nonghyup Feed Inc. (NOFI) has bought an estimated 132,000 tonnes of animal feed corn expected to be sourced from South America in an international tender for up to 138,000 tonnes on Friday, European traders said. The corn was bought in two consignments of 66,000 tonnes with trading house Cargill believed to be the seller of both, they said.

May 12 - South Korea’s MFG buys 133,000 tonnes of corn in tender
South Korea's Major Feedmill Group has purchased an estimated 133,000 tonnes of animal feed corn expected to be sourced from South America in an international tender on Thursday, European traders said. The first consignment of some 67,000 tonnes was bought at an estimated $264.27 a tonne c&f plus an additional $1.25 a tonne surcharge for additional port unloading with trading house CJ International believed to be the seller.

May 12 - Eastern EU states call on bloc to amend, extend Ukrainian food import ban - PAP
The agriculture ministers of five states in the east of the European Union called on the bloc to modify and extend regulations restricting the import of Ukrainian agricultural products, Polish news agency PAP reported, citing sources. The EU on May 2 set restrictions until June 5 on imports of Ukrainian wheat, maize, rapeseed and sunflower seed to ease the excess supply of these grains in Bulgaria, Hungary, Poland, Romania and Slovakia.

May 11 - FBX Weekly Overview ( Freightos )

- Asia-US West Coast prices (FBX01 Weekly) fell 11% to $1,516/FEU. This rate is 88% lower than the same time last year.
- Asia-US East Coast prices (FBX03 Weekly) dipped 4% to $2,410/FEU, and are 85% lower than rates for this week last year.
- Asia-N. Europe prices (FBX11 Weekly) decreased 1% to $1,392/FEU, and are 87% lower than rates for this week last year.

Despite the success of mid-April GRIs on the transpacific – and the finalizing of many long term contracts above March’s extremely low spot levels – Asia - N. America rates receded last week and have continued their slide so far this week, especially to the West Coast.

Average prices to the West Coast decreased 11% to about $1,500/FEU for the week last week and fell another 6% so far this week to $1,429/FEU, 8% below 2019 levels, making additional mid-month GRIs less likely for now.

The National Retail Federation’s latest US ocean import report shows volumes increased 5% in March compared to February’s low. It also estimates that April volumes climbed 8% and that volumes will increase by single digits month-on-month through August.

Though these totals would be well below last year’s volumes, and the report’s estimates were adjusted lower than those projected a month ago, the upward trend still predicts a return to seasonality with a peak season rebound above 2019 levels.

The report also expects US retail spending to increase this year, reflecting something of a disconnect between consumer behavior and freight trends right now as many retailers are still working through excess inventories built up last year.

As Maersk’s CEO – who also predicted that the carrier’s quarterly revenue for 2023 likely peaked in Q1 as spot rates fall and last year’s contracts expire – recently put it, “consumption now is well ahead of what is being moved.”

Also on the West Coast this week reports of additional progress in the prolonged negotiations between the ILWU and port operators – a key driver of the demand shift to the East Coast and perhaps of the discrepancy in the recent rate behavior – suggest a deal could be reached by the end of the month and ratified by mid-summer.

As transatlantic demand continues to ease, the rate drop on this lane picked up speed last week, declining 12% to about $2,700/FEU with prices falling another 19% so far this week to $2,182/FEU, the lowest level since March 2021 and just 6% higher than in 2019.

In air cargo, slumping demand is leading more carriers to take steps to reduce capacity, just as further recovery in passenger travel is adding cargo space to many lanes, including Asia - Europe.  The latest Freightos Air Index China - N. Europe rates of $3.43/kg are more than 50% below their level a year ago.

May 11 - EU 2022/23 soft wheat exports reach 26.49 million tonnes, up 11%
Soft wheat exports from the European Union in the 2022/23 season that started last July reached 26.49 million tonnes by May 7, up 11% compared with 23.87 million a year earlier, data published by the European Commission showed on Wednesday. EU barley exports so far in 2022/23 totalled 5.45 million tonnes, down 19% from 6.72 million a year ago.

May 11 - India to allow duty free imports of sunoil, soyoil until June
India clarified that duty-free imports of soyoil and sunflower oil shipped before March 31 would be allowed until the end of June, after hundreds of thousands of cargoes were stuck at ports over confusion over import rules. Earlier this year, the world's biggest importer of vegetable oils scrapped a duty-free imports quota of 2 million tonnes of crude sunflower oil and soyoil for the this fiscal started on April 1.

May 10 - Drop in Brazil corn prices should ease cost pressure on meatpackers
A sharp drop in corn prices in Brazil should provide some relief for the poultry and pork industries this year, the president of meat trade group ABPA said on Tuesday, BRF SA, JBS SA and other companies gear up to release first-quarter results in coming days. Corn and soy are used as livestock feed and account for about 70% of production costs of chicken and pork.

May 10 - Ukraine says it has alternatives if grain export deal not extended
Ukraine has alternative ways of transporting grain if a deal on safe Black Sea exports is not extended on May 18, and would not see that outcome as an "apocalyptic scenario", its agriculture minister said. Ukrainian Black Sea ports were blockaded after Russia's invasion last year, but access to three of them was cleared last July under a deal between Moscow and Kyiv that was brokered by the United Nations and Turkey.

May 10 - Outbound inspections resume under Black Sea grain deal
The United Nations said inspections resumed on Tuesday of outbound vessels under a deal allowing the safe Black Sea export of Ukraine grain, which Moscow has threatened to quit on May 18 over obstacles to its own grain and fertilizer exports. There were no inbound or outbound inspections of ships on Sunday or Monday.

May 09 - China April soy imports down 10% y/y on stricter customs checks
China's imports of soybeans fell 10% in April compared to a year ago, customs data showed, after a stricter clearance process at customs delayed processing of cargoes. The world's top soybean buyer brought in 7.26 million tonnes of the oilseed last month, significantly less than the 9 million tonnes expected by traders, based on vessel line-ups.

May 09 - Moldovan farmers fear grain storage shortage due to Ukrainian imports
Moldova will face a shortage of storage capacity for its 2023 grain harvest if it doesn't ban imports of Ukrainian grain and oilseeds, the Moldovan farmers' union said on Monday. Moldova said late last week that it might ban imports of Ukrainian grains as local farmers were facing losses due to a drop in global prices.

May 08 - Shipments from Ukraine slowing as Black Sea grain deal deadline nears
The pace of shipments from Ukraine under a U.N.-backed initiative has slowed as concerns grow over ships getting stuck if a deal is not renewed later this month, according to sources and data. Russia, which is one of the key parties involved, said it will keep talking although Moscow has threatened to quit on May 18, which has created more uncertainty for traders and shipping companies trying to plan ahead.

May 08 - Ukraine 2022/23 grain exports at 42.5 mln T as of May 5 - ministry
Ukraine's grain exports for the 2022/23 season stood at 42.5 million tonnes by Friday, Agriculture Ministry data showed. The volume in the July-to-June season so far included about 14.6 million tonnes of wheat, 25.1 million tonnes of corn and about 2.5 million tonnes of barley.

May 08 - Tunisia buys about 100,000 T durum and 75,000 T barley – traders
Tunisia's state grains agency is believed to have purchased about 100,000 tonnes of durum wheat and around 75,000 tonnes of animal feed barley in an international tender on Friday, European traders said. The durum was said to have been bought in four consignments of 25,000 tonnes.

May 05 - U.S. corn export sales hit record low on China cancellations
U.S. export sales of corn fell to their lowest weekly total on record, government data showed on Thursday, as overseas buyers canceled purchases made earlier in the year. Concerns about export demand for U.S. corn have weighed on prices for months and the futures market sank to a nine-month low earlier this week, as a massive crop in Brazil was expected to provide a glut of cheaper supplies. 

May 05 - China buys first cargo of South African corn
China imported its first cargo of corn from South Africa this week, official news agency Xinhua reported late on Thursday, as the world's top buyer of the grain seeks to diversify its grain purchasing markets. The 53,000-tonne cargo bought by state-owned trader COFCO Group arrived into Machong port in southern Guangdong province on Thursday, said the report, and will be sold to animal feed makers.

May 04 - Cheap Russian wheat dominates Egypt's 655,000 T purchase
Egypt’s state grains buyer, the General Authority for Supply Commodities, bought 655,000 tonnes of wheat in an international tender on Tuesday with cheap Russian wheat dominating the business, traders said on Wednesday. The total is believed to involve an estimated 535,000 tonnes sourced from Russia and 120,000 tonnes from Romania. 

May 04 - Dreyfus sees sugar loading delays in Brazil, prices could go higher
Commodities trader Louis Dreyfus Co expects waiting times of at least 30 days to load sugar in Brazil due to congestion in ports and sees potential for sugar prices to go even higher if the weather phenomenon El Nino hurts production. Dreyfus head of sugar Enrico Biancheri said in a presentation at New York Sugar Week that the recent price spike in sugar is justified since farmers around the world need that signal to increase production and prevent large supply deficits in the years to come.

May 03 - FBX Weekly Overview (Freightos)

- Asia-US West Coast prices (FBX01 Weekly) dipped 2% to $1,697/FEU. This rate is 89% lower than the same time last year.
- Asia-US East Coast prices (FBX03 Weekly) were level at $2,516/FEU, and are 85% lower than rates for this week last year.
- Asia-N. Europe prices (FBX11 Weekly) decreased 1% to $1,399/FEU, and are 87% lower than rates for this week last year.

Though transatlantic ocean rates continued to slide last week, prices on the ex-Asia lanes were overall stable.

The success of the recent transpacific GRIs in pushing spot rates up – though daily rates for this week show prices to the West Coast have dipped by 10% – were likely a factor in reports of an increase in the number of long term transpac ocean contracts finalized last week. These reports have the largest shippers paying contract rates of about $1,200/FEU to the West Coast and $2,200/FEU to the East Coast, with smaller BCOs agreeing to contracts about $200-$300 higher per container.

These contract levels reflect confidence that the spot market will not return to the extreme lows of earlier in the year, either due to a rebound in demand or to effective capacity management by carriers. Nonetheless, conflicting analyses persist as to whether or not we’ve reached the bottom of the freight recession just yet and when a rebound in demand might kick in. And conflicting opinions continue to emerge as to whether or not various strategies by carriers to offset new capacity set to enter the market starting this year will succeed, and what effect those steps will have on ocean rates.

In air cargo too, demand levels are leading carriers like UPS to reduce their number of flights, while some (though certainly not all) carriers are still expecting a seasonal increase in demand later in the year.

May 03 - Export prices for Russian wheat flat, demand from importers weak
Export prices for Russian wheat did not change much last week, while demand from major importers remains very weak, analysts said on Tuesday. Prices for Russian wheat with 12.5% protein content, delivered free on board (FOB) from the Black Sea at the end of May remained around $265 per tonne FOB. 

May 03 - EU 2022/23 soft wheat exports up 9% by April 30
Soft wheat exports from the European Union in the 2022/23 season that started in July had reached 25.67 million tonnes by April 30, up 9% compared with 23.46 million a year earlier, data published by the European Commission showed on Tuesday. EU barley exports so far in 2022/23 totalled 5.27 million tonnes, down 21% from 6.72 million a year earlier.

May 02 - Impasse remains over Russian grain, fertilizer exports
There is no progress in removing obstacles to Russian grain and fertiliser exports caused by the West's "sanction strategy", a senior Russian diplomat in Washington said, ahead of the expiry of a deal safeguarding Ukrainian grain exports. The deal, brokered by the United Nations and Turkey last July which allows Ukrainian grain trapped by the conflict to be safely exported from the country's Black Sea ports, is set to expire on May 18. 

May 02 - Ukraine grain exports at 3.62 mln tonnes in April
Ukraine's grain exports totalled 3.62 million tonnes in April compared with 923,000 tonnes in April 2022 when all the country's Black Sea ports were blocked due to the Russian invasion, Ukrainian farm ministry data showed on Monday. The ministry said overall grain exports for the 2022/23 season stood at 41.6 million tonnes as of May 1, including about 14.4 million tonnes of wheat, 24.4 million tonnes of corn and about 2.5 million tonnes of barley.

May 01 - Paraguay's Ovetril takes over key port terminal as Brazil soy inflows surge
Paraguayan soy origination company Ovetril has taken over the administration of Paraguay's Don Severo port terminal, in the town of Antequera, as surging Brazilian soy sales to Argentina tend to increase volumes passing through that strategic hub, the company said on Friday. The port is located on the banks of the Paraguay River, which boasts the world's third-largest barge fleet, and currently handles Paraguayan corn and soybean shipments destined mainly for Argentina, the company said.

Apr 28 - EU hikes wheat stocks forecast as exports cut, imports raised
The European Commission on Thursday sharply raised its outlook for wheat stocks this season as it reduced forecast exports and increased expected imports. The revisions highlight the prospect of large wheat supplies that has led to calls from some eastern EU countries to curb an influx of cheaper grain from war-torn Ukraine. 

Apr 28 - Algeria buys wheat in tender for shipment to 2 ports
Algeria’s state grains agency OAIC is believed to have bought milling wheat in an international tender on Thursday which sought limited shipment to two ports only, European traders said. Purchases reported were around $295 a tonne cost and freight (c&f) included, they said. Purchases were also reported at $296.50 a tonne c&f.

Apr 27 - European Commission to ban Ukrainian grain exports to Romania
The European Commission will ban Ukrainian grain and oilseeds exports to Romania until June 5, Romanian Agriculture Minister Petre Daea said on Wednesday. Romania has stopped short of enforcing a ban, whereas Poland, Hungary, Bulgaria and Slovakia took unilateral steps to protect local markets from a flow of Ukrainian farm products. 

Apr 27 - EU 2022/23 soft wheat exports reach 25.02 mln T, up 10%
Soft wheat exports from the European Union in the 2022/23 season that started in July had reached 25.02 million tonnes by April 22, up 10% compared with 22.81 million a year earlier, data published by the European Commission showed on Wednesday. The latest weekly data ran up to last Saturday, rather than Sunday as normally, due to a technical issue, the Commission said on its website.

Apr 26 - Turkey imposed a 130% import tariff of some grain imports including wheat and corn, according to a presidential decision published on Tuesday in the Official Gazette. The import duty comes after some European Union countries announced bans on grain imports from Ukraine last week. But some traders said Turkey's move is largely to protect its local agricultural sectors ahead of landmark May 14 elections.

Apr 26 - Ukraine 2023/24 wheat exports seen falling 37% to 8.8 mln T - APK Inform
Ukraine's wheat exports are likely to fall 37% to 8.8 million tonnes in the 2023/24 July-June season due to an expected drop in the harvest and ending stocks, APK-Inform consultancy said on Tuesday. In its first forecast for the 2023/24 season, the consultancy said Ukraine's overall grain harvest could fall by 13% to 45.6 million tonnes from the previous season, including 16.2 million tonnes of wheat, 5.2 million tonnes of barley and 22.9 million tonnes of corn.

Apr 25 - FBX Weekly Overview (Freightos)

- Asia-US West Coast prices (FBX01 Weekly) jumped 71% to $1,725/FEU. This rate is 89% lower than the same time last year.
- Asia-US East Coast prices (FBX03 Weekly) climbed 16% to $2,510,/FEU, and are 85% lower than rates for this week last year.
- Asia-N. Europe prices (FBX11 Weekly) fell 1% to $1,410/FEU, and are 88% lower than rates for this week last year.

This week’s most important non-rate-related ocean update is the significant progress in ILWU - PMA negotiations announced late last week, followed by a key meeting Monday aimed at resolving manning issues and leaving wages and benefits as the next areas to hammer out.  

Meanwhile, transpacific ocean rates climbed sharply last week on mid-month GRIs, especially to the West Coast, with daily rates so far this week indicating that the increases have succeeded for now. Asia - US West Coast prices climbed 71% to $1,725/FEU, 12% higher than 2019, while rates to the East Coast increased 16% to about $2,500/FEU, just below the 2019 mark.

Carriers are trying to make sure the GRIs stick – and then some – by reducing capacity and announcing additional GRIs for early May, including rate increases on Asia - Europe lanes as well.

In addition to blanking sailings and suspending services, carriers are also sailing vessels at record low speeds as a way to reduce available capacity.  So far, though, this slow down – happening alongside the disappearance of port congestion – does not appear to be increasing transit times, as Freightos marketplace data shows China - US average transit times have fallen 13% so far in April compared to last month and are on par with 2020.

But even with current rate levels and these steps to reduce supply, there is skepticism that additional increases in May will succeed given reports that some carriers are already deferring their May GRIs to mid-month.

On the transatlantic, ocean rates have fallen more than 40% since the start of the year and more than 60% since their peak last summer as volumes continued to decline in March. Prices are now on par with 2021 levels but are still an outlier for US import rates, remaining 60% higher than in 2019.

Recent analysis suggests that changes to air fleets and capacity in the coming years may impact transatlantic air cargo differently than other lanes, too.  Increases in freighter capacity and passenger travel are expected to push air cargo rates down on most lanes, though a trend toward new narrowbody passenger planes on the transatlantic may actually reduce capacity levels.

For now, Freightos Air Index rates for the transatlantic declined to $2.73/kg last week, 37% lower than a year ago, with Asia - US prices at $4.14/kg for a 72% decline vs. last April and Asia - Europe rates of  $4.12/kg also 37% lower than last year.

Apr 25 - Russian wheat export prices extended fall last week on low demand, analysts say
Export prices of Russian wheat continued to decline last week as low demand outweighed the impact on the market of uncertainty over whether the Black Sea grain deal will be extended, analysts said. Prices for Russian wheat with 12.5% protein content, delivered free on board (FOB) from Black Sea ports, were $265 a tonne, down $6 from last week, the IKAR agriculture consultancy said.

Apr 25 - India's coking coal imports from Russia to accelerate this year
India is set to step up its purchases of Russian coking coal this fiscal year to cash in on lower prices and diversify its imports, trade and industry officials said. Executives at three steelmaking companies, who didn't wish to named, said Indian firms are keen to capitalise on lower Russian coking coal prices and faster deliveries.

Apr 24 - U.S. buys Brazilian soybeans after price drop
A drop in prices due to abundant local supplies is making Brazil an attractive origin for soybeans, with at least two vessels carrying a combined 79,150 tonnes of Brazilian product heading to the U.S. in the next few days, according to shipping data. The CS Satira, chartered by The Andersons, is expected to set sail on April 30 carrying 33,000 tonnes of Brazilian soybeans from the port of Santarem to the U.S., shipping data from Cargonave showed on Thursday. 

Apr 24 - South Korea’s NOFI buys estimated 137,000 T corn in tender
Leading South Korean animal feed maker Nonghyup Feed Inc (NOFI) has bought an estimated 137,000 tonnes of animal feed corn from optional origins in an international tender on Friday for up to 138,000 tonnes, European traders said. The corn was bought in two consignments, both at an estimated outright price of $267.98 a tonne c&f plus a $1.50 a tonne surcharge for additional port unloading, the traders said.

Apr 21 - Russian grain quotas may be shared in bid to maximise exports
Russian grain suppliers may be able to waive a part of their export quotas so they can be redistributed to other companies, a draft regulation shows, as Moscow seeks to maximise exports and avoid domestic oversupply. Russia started setting export limits in 2020 to ensure it had enough grain for its domestic needs, distributing quotas among companies each season in proportion to the amount of grain they have exported in the past 

Apr 21 - China's coal imports from Australia hit 15-mth high as trade hurdles removed
China's coal imports from Australia rose to the highest level since Dec. 2021 in March after Beijing removed barriers on coal trade with the country and Chinese traders rushed to make profits off falling overseas prices. China brought in 2.22 million tonnes of Australian coal last month, data from the General Administration of Customs showed on Friday, comprising 1.93 million tonnes of thermal coal and 284,990 tonnes of coking coal.

Apr 20 - Argentina permits wheat export delays again in bid to boost domestic supply
Argentina's government said on Wednesday grain exporting firms have again been allowed more time to reschedule wheat shipments without penalty, as it seeks to prioritize local supply after a historic drought shrunk the crop. The temporary extension, authorized by the agriculture secretariat, was published in the government's official gazette. It is set to impact supply from Argentina to global markets. 

Apr 20 - Ukraine 2022/23 grain exports at 40 mln T as of April 19, says ministry
Ukraine's grain exports for the 2022/23 season were at 40 million tonnes as of April 19, Agriculture Ministry data showed on Wednesday. The ministry gave no exact comparative data for the same date a year ago but said Ukraine had exported 45.5 million tonnes of grain as of April 22, 2022.

Apr 19 - EU 2022/23 soft wheat exports at 24.37 mln tonnes by April 16
Soft wheat exports from the European Union in the 2022/23 season that started in July had reached 24.37 million tonnes by April 16, compared with 22.47 million a year earlier, data published by the European Commission showed on Tuesday. EU barley exports so far in 2022/23 totalled 5.05 million tonnes, against 6.59 million a year ago, while EU maize imports were at 22.35 million tonnes, against a year-earlier 12.79 million. 

Apr 19 - Jordan buys about 50,000 tonnes wheat in tender
Jordan's state grains buyer purchased about 50,000 tonnes of hard milling wheat to be sourced from optional origins in an international tender on Tuesday, traders said. It was bought from trading house Farm Sense at an estimated $303 a tonne c&f for shipment in the second half of October, they said.

Apr 18 - FBX eekly Overview (Freightos)

- Asia-US West Coast prices (FBX01 Weekly) increased 1% to $1,008/FEU. This rate is 94% lower than the same time last year.
- Asia-US East Coast prices (FBX03 Weekly) were stable at $2,171/FEU, and are 87% lower than rates for this week last year.
- Asia-N. Europe prices (FBX11 Weekly) were stable at $1,429/FEU, and are 88% lower than rates for this week last year.

- Transpacific ocean rates may have indeed reached their floor last week, as prices remained at about $1,000/FEU to the West Coast and $2,200/FEU to the East Coast.  And, in the latest twist, daily rates so far this week have climbed sharply with West Coast prices up 70% to $1,721/FEU, 10% higher than in 2019, and East Coast rates up to $2,537/FEU, just 5% below their 2019 level. These spikes are the results of several carriers announcing mid-month General Rate Increases following some recent increase in import volumes – more to the West Coast than to the East Coast possibly due to shippers lured by rock-bottom West Coast spot prices – and expectations/hopes for a gradual rebound in demand up through peak season. But the rate hike is probably mostly a result of more aggressive carrier reductions in capacity through blanked sailings and service suspensions, leading to more ships sailing at or near capacity – a trend happening on the Asia - Europe lane as well.

- Carriers are likely also hoping the rate hike will help push shippers to sign still-not-finalized annual contracts above the spot market floor of the last few weeks, by signaling their willingness to reduce capacity and increase rates to a profitable level if a demand rebound doesn’t materialize.

- Rate behavior in the coming weeks should indicate the success or failure of these GRIs, and could strongly influence how many long term contracts get signed before the typical May start date and at what price.
-
 In air cargo, expectations for a strong summer of transatlantic passenger travel is leading some carriers to significantly increase the number of flights on this route.  Freightos Air Index Europe - N. America rates ticked down by 4% in the last month to $2.61/kg, down from $3/kg at the start of the year, but a big increase in capacity could push air cargo rates down further.

Apr 18 - Argentina port strikes stall grains shipments, more protests planned
Argentina grains inspectors have launched a 24-hour strike that is halting shipments at key river ports in farm transport hub Rosario, the ports chamber CAPyM said on Monday. The Urgara grains inspectors' union said they are protesting rules that limit the number of terminals operating at a port in the city of Buenos Aires and high taxes applied to workers' salaries. 

Apr 18 - Export prices of Russian wheat down slightly, volumes remain high
Export prices of Russian wheat fell slightly last week amid a sell-off in Chicago, despite renewed concerns about the fate of the Black Sea grain deal, analysts said. The Kremlin said on Monday prospects for a renewal of the Black Sea deal, whereby Russia allows Ukraine to ship agricultural exports from its Black Sea ports via Turkey, were "not so bright".

Apr 17 - China's imports of Australian coal surge on price advantage: Russell
Australia may become the swing supplier of coal to China after the world's biggest importer of the fuel ended its unofficial ban on imports from the world's second-biggest shipper. China's coal imports leapt to a three-year high in March, with official data showing arrivals of 41.17 million tonnes, up 151% from the same month in 2022. 

Apr 17 - Drought curtails Argentina's latest 'soy dollar' scheme
Farmers participating in Argentina's "soy dollar" plan to boost exports have traded less than half of the soybeans they had traded at the same point during the previous plan, due to the impact of a drought, the Rosario grains exchange said on Friday. The Argentina government launched its latest "soy dollar" plan on Monday to boost dollar inflows from soybean exports and replenish dwindling foreign exchange reserves, in a delicate economic context with annual inflation over 100%.

Apr 14 - Algeria buys around 400,000 to 450,000 T durum wheat in tender
Algeria’s state grains agency OAIC is believed to have purchased about 400,000 to 450,000 tonnes of durum wheat in an international tender, European traders said on Thursday. It was suspected to be sourced from Mexico and Canada. Some estimates said about half each from each origin. 

Apr 14 - Japan buys 78,548 tonnes of food wheat via tender
Japan's Ministry of Agriculture, Forestry and Fisheries (MAFF) bought a total of 78,548 tonnes of food-quality wheat from the United States and Canada in a regular tender that closed on Thursday. Japan, the world's sixth-biggest wheat importer, keeps a tight grip on imports of its second-most important staple behind rice, buying the majority of the grain for milling via tenders typically issued three times a month.

Apr 13 - Handy Bulk Market Overview (BMTI)

- Off the Continent, an Ultramax was taken for a trip to the East at US$ 20,000 daily, and at US$ 15,500 daily for a trip tip to West Africa on Supra tonnage. Ultra scrap TC rates are hovering around US$ 13,500-14,000 daily. The Black Sea looks stable with 30,000mt booked from Romania to the East Med at TCE of US$ 13,500 daily. Rates are still sounding okay from the Med where clinker charterers took an Ultra at US$ 18,000 daily to West Africa. Grain charterers are linked with a 30,000mt cargo from Romania to the Adriatic at a TCE of 13,500 daily. A 36,000 dwt is rumoured as done at US$ 11,000 daily for 5-7 months of trading. From West Africa, Ultra owners were rating a trip via South Africa to the East at US$ 18,000 daily. A Handy of 33,000 dwt was ballasted to Santos to get fixed at US$ 14,000 daily for a trip to Morocco, which isn’t really exciting.

- Supramax font haul rates from ECSA are hovering around US$ 14,500 daily plus US$ 450,000 ls. In the US Gulf area Supra rates are down to US$ 15-16,000 daily for trans-Atlantic trips. Rates on large Handies are hovering around US$ 12,000 daily for trans-Atlantic destinations. Several 37-39,000dwt vessels have been fixed from Plate to WCSA at US$ 22-23,000 daily. South Africa has been busy with coal charterers rating Ultra tonnage at US$ 17,000 daily plus US$ 170,000 ls for a trip to India. Supramax charterers were allegedly seeing US$ 15,000 daily on a trip to Romania. The decline in the East is just amazing. Handy tonnage of 33-37,000dwt are getting fixed at US$ 6,000-7,000 daily for trips from Korea-North China area to South East Asia. Australian rounds have been done at US$ 7,300 daily on 35,000 dwt tonnage. Owners of 37,000dwt decided to ballast to Singapore to do a trip to the Eastern Med at US$ 10,000 daily.

Apr 12 - Australia reaches deal with China in barley dispute as trade ties improve
Australia has reached an agreement with China to resolve their dispute over barley imports, the two countries said on Tuesday, a latest sign of improving ties between the major commodity trade partners. Relations between the two had been strained for years, and worsened after Australia called for an inquiry into the origins of COVID, triggering trade reprisals by Beijing including anti-dumping duties on Australian wine and barley. 

Apr 12 - Jordan buys estimated 60,000 tonnes wheat in tender
Jordan's state grains buyer purchased about 60,000 tonnes of hard milling wheat to be sourced from optional origins in an international tender which closed on Tuesday, traders said. It was bought from trading house CHS at an estimated $303.30 a tonne c&f for shipment in the second half of September, they said.

Apr 11 - FBX Weekly Overview (Freightos)

- Asia-US West Coast prices (FBX01 Weekly) fell 1% to $1,006/FEU. This rate is 94% lower than the same time last year.
- Asia-US East Coast prices (FBX03 Weekly) decreased 1% to $2,097/FEU, and are 88% lower than rates for this week last year.
- Asia-N. Europe prices (FBX11 Weekly) increased 1% to $1,344/FEU, and are 89% lower than rates for this week last year.

Ex-Asia ocean rates were level this week, with last week’s average to the West Coast at $1,006/FEU. But daily rates this week have now dipped just below the $1k mark to a new FBX low for this lane. Transatlantic prices fell 3% to $3,771/FEU, a 54% drop compared to a year ago though still double March 2019 levels.

Transpacific volumes and rates are down both because of a slowdown in pandemic-driven spending on goods and because many importers pulled too many orders forward into H1 of last year – to keep up with expected consumer demand and account for delays – and have been working down those inventories since.  

Conventional wisdom is that once inventories run down – and if consumer demand is there – the industry will enter a restocking cycle and ocean demand and rates will climb. Some recent projections had that rebound to above 2019 volumes set to begin already in March.

But falling rates through March and into April, increases in announced blanked sailings for the coming weeks, and contract negotiations still up in the air given the still-slumping spot market, may signal growing skepticism that any rebound has already begun or will kick in very soon.

Importers not dealing with excess inventories are also facing uncertainty around what consumer demand will look like for the rest of the year, making some cautious in placing new orders. This caution and the desire for cost savings are among the drivers of the decline in air volumes and rates as some importers both order less and ship a higher than normal share of their volumes earlier than usual – but by ocean instead of air.

Apr 11 - Morocco reduces wheat subsidy disadvantage for Black Sea imports
Morocco will offer this month almost the same wheat import subsidy for Black Sea shipments as for other origins, eroding an advantage held by European Union supplies, a document published by state grain agency ONICL showed. For milling wheat cargoes shipped in April from Russia, Ukraine and other countries using Black Sea ports, Morocco will offer a subsidy of 70.64 dirhams per quintal (0.1 tonne), slightly below a 71.58 dirham per quintal rate for other origins, the document showed. 

Apr 11 - Ukraine 2022/23 grain exports at 38.8 mln T as of April 10
Ukraine's grain exports for the 2022/23 season were at 38.8 million tonnes as of April 10, Agriculture Ministry data showed on Monday. The ministry gave no exact comparative data for the same date a year ago but said Ukraine had exported 45.3 million tonnes of grain as of April 15, 2022.

Apr 10 - Russia threatens West as Turkey seeks grain deal extension
Russia on Friday threatened to bypass the UN-brokered grain deal unless obstacles to its agricultural exports were removed, while talks in Turkey agreed removing barriers was a necessary condition to extending the agreement beyond next month. The Black Sea grain deal, first signed last July and twice renewed, is an attempt by the United Nations to ease a food crisis that predated the Russian invasion of Ukraine, but has been made worse by the most deadly war in Europe since World War Two.

Apr 10 - Egypt's GASC buys 600,000 tonnes of Russian wheat in tender
Egypt's state grains buyer, the General Authority for Supply Commodities (GASC), said on Thursday it bought 600,000 tonnes of Russian wheat in an international tender. The purchase comprised of 300,000 tonnes for shipment between May 10-20 and 300,000 tonnes for shipment between May 21-31, GASC said.

Apr 06 - Energy firms bet big on German port as clean energy hub
Germany's only deep water port, home to its largest naval base, is where energy firms now plan to spend more than $5.5 billion to help construct the clean energy infrastructure the country needs to help end its reliance on Russian gas. Europe's leading industrial exporter has only just managed to get through an energy crunch by rushing to build makeshift floating infrastructure for importing liquefied natural gas (LNG), aiming to partially plug the gap left by Moscow's cuts. 

Apr 06 - Jordan buys 60,000 tonnes of barley in tender, traders say
Jordan's state grain buyer has purchased about 60,000 tonnes of animal feed barley to be sourced from optional origins in an international tender which closed on Wednesday, traders said. The barley was bought at an estimated $265.50 a tonne, cost and freight (c&f) included, for shipment in the first half of September, and the seller was believed to be trading house Viterra, the traders said.

Apr 05 - Japan seeks 78,732 tonnes of food wheat via tender
Japan's Ministry of Agriculture, Forestry and Fisheries (MAFF) is seeking to buy a total of 78,732 tonnes of food-quality wheat from the United States, Canada and Australia in a regular tender that will close on Thursday. Japan, the world's sixth-biggest wheat importer, keeps a tight grip on imports of its second-most important staple behind rice, buying the majority of the grain for milling via tenders typically issued three times a month. 

Apr 05 - Algeria tenders to buy up to 70,000 tonnes corn
Algerian state agency ONAB has issued an international tender to purchase up to 70,000 tonnes of animal feed corn to be sourced from Argentina or Brazil, European traders said on Monday. The deadline for submission of price offers in the tender is Tuesday, March 21, they said.

Apr 04 - FBX Weekly Overview (Freightos)

- Asia-US West Coast prices (FBX01 Weekly) fell 1% to $1,006/FEU. This rate is 94% lower than the same time last year.
- Asia-US East Coast prices (FBX03 Weekly) decreased 1% to $2,097/FEU, and are 88% lower than rates for this week last year.
- Asia-N. Europe prices (FBX11 Weekly) increased 1% to $1,344/FEU, and are 89% lower than rates for this week last year.

- Ex-Asia ocean rates were level this week, with last week’s average to the West Coast at $1,006/FEU. But daily rates this week have now dipped just below the $1k mark to a new FBX low for this lane. Transatlantic prices fell 3% to $3,771/FEU, a 54% drop compared to a year ago though still double March 2019 levels.

- Transpacific volumes and rates are down both because of a slowdown in pandemic-driven spending on goods and because many importers pulled too many orders forward into H1 of last year – to keep up with expected consumer demand and account for delays – and have been working down those inventories since.  

- Conventional wisdom is that once inventories run down – and if consumer demand is there – the industry will enter a restocking cycle and ocean demand and rates will climb. Some recent projections had that rebound to above 2019 volumes set to begin already in March. But falling rates through March and into April, increases in announced blanked sailings for the coming weeks, and contract negotiations still up in the air given the still-slumping spot market, may signal growing skepticism that any rebound has already begun or will kick in very soon.

- Importers not dealing with excess inventories are also facing uncertainty around what consumer demand will look like for the rest of the year, making some cautious in placing new orders. This caution and the desire for cost savings are among the drivers of the decline in air volumes and rates as some importers both order less and ship a higher than normal share of their volumes earlier than usual – but by ocean instead of air.

Apr 04 - Russian wheat export prices halt multi-week decline
Export prices for Russian wheat halted a multi-week decline as major Western traders said they would stop handling Russian grain exports, and following a report that Russia's agriculture ministry had issued unofficial guidance to support export prices. International trading firms Cargill and Viterra last week announced they would no longer handle Russian grain exports from July 1.  

Apr 04 - Australia sees rising exports of new energy metals, but also more coal: Russell
Leading commodity exporter Australia expects rising shipments of new energy metals in coming years, but in a blow to global climate change goals the government still forecasts steady volumes of fossil fuels such as coal and natural gas. Earnings from natural resource exports will reach a record A$464.3 billion ($315.3 billion) in the 2022-23 fiscal year that ends on June 30, the Office of the Chief Economist in the Department of Industry, Science and Resources said in its latest quarterly report released on April 3.

Apr 03 - Australia critical mineral export revenue to match coal by 2028
Revenue from Australia's exports of critical minerals like lithium and nickel will nearly equal the current second-biggest export earner coal by 2028 as the global energy transition gathers pace, the government said in an update of its five-year outlook. Australia's industry department, which on Monday forecast another record year of resources export revenue, said global coal demand had passed its peak, whereas demand for minerals like lithium, nickel, copper and rare earths was set to speed up. 

Apr 03 - Drought cuts Romanian grain, sunseed output in 2022
Romania's production of wheat, maize and sunseed fell by double digits in 2022, driven by weather and higher production costs, preliminary data from the National Statistics Board showed on Friday. The European Union state put 2.18 million hectares under wheat and reaped 8.6 million tonnes of wheat in 2022, down 18% from a bumper harvest in the previous year.

Mar 31 - NORDEN buys bigger ships, sees China commodities trade picking up
Shipping group NORDEN has acquired larger capesize dry bulk ships, aiming to benefit from China's economy reopening and expectations of a pick up in commodities trade, the Danish company's CEO said. Three years of rigid border controls and sweeping lockdowns during the pandemic have sapped business confidence in China, especially among foreign firms, according to sentiment surveys.  

Mar 31 - Turkey buys 395,000 T wheat out of 695,000 T tender 
Turkey's state grain board TMO has purchased 395,000 tonnes of milling wheat out of a tender for 695,000 tonnes held on Tuesday, traders said on Thursday. A provisional purchase of 300,000 tonnes in the tender for shipment May 18-June 16 was cancelled.

Mar 30 - Sudan's wheat import requirements to rise to 3.5 mln tonnes in 2023 – FAO
Sudan will need to import 3.5 million tonnes of wheat this year because of a 30% drop in the projected local harvest after farmers switched to planting different crops, the U.N. Food and Agriculture Organization (FAO) said on Wednesday. Some farmers told Reuters the government had failed to buy their wheat on promised terms last year, leaving them reluctant or without the money to plant a new crop. 

Mar 30 - Russia's Rosagroleasing to order new ocean-going grain carriers
Russia's state-owned agricultural leasing company Rosagroleasing has placed orders for ocean-going grain carriers, and plans to launch them within two to three years, the firm's head Pavel Kosov said on Wednesday. At a meeting with Russian Prime Minister Mikhail Mishustin, Kosov said: "Now Rosagroleasing has ordered a project for the construction of 40 and 60 thousand tonne vessels ... And within the next two or three years, the lead ships will be launched".

Mar 30 - FBX Weekly Overview (Freightos)

- Asia-US West Coast prices (FBX01 Weekly) dipped 1% to $1,016/FEU. This rate is 94% lower than the same time last year.
- Asia-US East Coast prices (FBX03 Weekly) fell 3% to $2,123/FEU, and are 88% lower than rates for this week last year.
- Asia-N. Europe prices (FBX11 Weekly) decreased 6% to $1,335/FEU, and are 89% lower than rates for this week last year.

- Hopes for a rebound in ocean demand in time for peak season may have dampened a bit this week as major retailers like Nike and Adidas reported that they are still coping with inventory surpluses built up over H1 of last year, with other importers taking drastic inventory-reduction measures in response. The longer inventories remain high, the longer new orders, ocean volumes and freight rates will remain deflated.

- Transpacific ocean rates dipped slightly last week. West Coast prices of just over $1,000/FEU are the lowest rates recorded since the FBX launched in 2016. These prices are 21% lower than in 2019 and rates to the East Coast are 14% lower than 2019 levels. Asia - N. Europe rates fell 6% to $1,335/FEU, just 4% higher than in 2019, though reports that some ships are sailing at capacity may indicate that carriers are close to aligning supply with demand levels, which could stabilize rates.

- Transatlantic prices of $3,893/FEU are more than double 2019 levels, though rates fell 7% last week, and are 21% lower than a month ago. Prices have fallen about 50% since a year ago, and have decreased fairly steadily since the fall as carriers have added capacity to this still-lucrative lane and as volumes have declined – though they remain well above 2019 levels.

- In labor developments, widespread logistics worker strikes in Germany disrupted operations early this week, while in the US shipper groups are calling for the White House to intervene in stalled West Coast port labor union negotiations.

- Freightos Air Index data show ex-Asia air cargo rates to Europe and the US are more than 20% lower than a month ago as weak demand persists.  Prices to the US of $3.28/kg are more than 70% lower than a year ago, and, at $3.53/kg, rates to Europe are 46% lower than this time last year.

Mar 29 - Turkey buys 695,000 tonnes wheat in tender
Turkey's state grain board TMO bought some 695,000 tonnes of milling wheat in an international tender on Tuesday, filling the entire volume it had tendered for, European traders said. The tonnages purchased in TMO’s tenders are provisional and still subject to final confirmation in coming days. 

Mar 29 - Jordan buys estimated 60,000 tonnes wheat in tender
Jordan's state grain buyer has purchased about 60,000 tonnes of hard milling wheat to be sourced from optional origins in an international tender which closed on Tuesday, traders said. It was bought from trading house Grain Flower at an estimated $308.50 a tonne c&f for shipment in the first half of September, they said.

Mar 28 - China's Q1 coal imports jump to new highs as factories throttle up: Maguire
China's imports of thermal coal in the opening quarter of 2023 have soared to new highs as utilities and businesses restocked in anticipation of greater energy use following the easing of strict zero-COVID policies that curbed coal demand in 2022. Total thermal coal imports through March soared 81% from the same period a year ago to 65.7 million tonnes, according to ship-tracking data from Kpler. 

Mar 28 - Ivory Coast 2022/23 cocoa arrivals seen at 1.753 Mln T by March 26
Cocoa arrivals at ports in the world's top grower Ivory Coast reached 1.753 mln tonnes by March 26 since the start of the season on Oct. 1, down 5.2% from the same period last season, exporters estimated on Monday. About 12,000 tonnes of beans were delivered to Abidjan port and 14,000 tonnes to San Pedro between March 20 and March 26 for a total of 26,000 tonnes, up from 25,000 tonnes to the same week the previous season.

Mar 27 - Iraq to import 600k-1 mln tonnes of wheat if harvest meets expectations
Iraq expects to import anywhere from 600,000 to one million tonnes of wheat if this year's harvest season reaches its four million tonne objective, Iraqi state news agency quoted a trade ministry official as saying on Saturday. On March 14, Iraqi agriculture minister Abbas Jabr said his country expects its wheat production to reach 4 million tonnes for the 2022-2023 harvest. 

Mar 27 - Taiwan buys estimated 56,300 tonnes wheat of U.S.-origin in tender
The Taiwan Flour Millers' Association purchased an estimated 56,300 tonnes of milling wheat to be sourced from the United States in a tender on Friday, European traders said. The purchase involved various wheat types for shipment from the U.S. Pacific Northwest coast between May 10 and May 24. The purchase involved U.S. dark northern spring wheat of a minimum 14.5% protein content bought at $355.56 a tonne FOB U.S. Pacific Northwest coast, traders said.

Mar 24 - Insurers covering Ukraine grain corridor shipments for now
Insurers continue to cover grain shipments from Ukraine through a U.N.-backed corridor although more clarity will be required soon, a senior Lloyd's of London official said on Thursday, after the export accord was renewed for at least 60 days. The deal allowing the safe wartime export of Ukrainian grain from its Black Sea ports, initially brokered last July by Turkey and the U.N., was renewed on Saturday for just half the intended period. 

Mar 24 - Indonesia's PT Timah aims to increase export, output by up to 30%
Indonesian tin miner PT Timah aims to increase refined tin output and exports by a third this year, after posting a sharp decline in shipments in 2022, a company official said on Thursday. Timah refined tin exports stood at 17,280 tonnes last year, down 28.77% from 24,260 tonnes in 2021, company data showed.

Mar 23 - FBX Weekly Overview (Freightos)

- Asia-US West Coast prices (FBX01 Weekly) dipped 1% to $1,028/FEU. This rate is 94% lower than the same time last year.
- Asia-US East Coast prices (FBX03 Weekly) fell 3% to $2,198/FEU, and are 87% lower than rates for this week last year.
- Asia-N. Europe prices (FBX11 Weekly) decreased 7% to $1,414/FEU, and are 89% lower than rates for this week last year.

- US inflation continued to cool in February, though high-profile bank failures may threaten to shake consumer confidence as global trade hopes for a demand recovery later in the year.
- In the meantime, ocean rates continued to fall last week with Asia - N. Europe prices sliding another 7% to $1,414/FEU, nearly 90% lower than a year ago and just 13% higher than in 2019. Carriers continued to remove capacity as demand declines, though some experts are projecting a rebound in demand on this lane in H2.
- Transpacific rates also trended down, with prices to the West Coast just above the $1,000/FEU mark, 25% below the 2019 level – even as rates were sliding post-Lunar New Year in March of that year – and 22% lower than in March of 2020 when demand was plummeting.
- West Coast volumes slid faster than US imports overall in February, and the labor tensions responsible for a good part of that disparity escalated this week. Asia - East Coast rates of $2,198/FEU are 14% lower than in 2019.

- Still-falling spot prices are complicating transpacific long term ocean contract negotiations between large to mid-size shippers and ocean carriers, many of which would typically already be finalized by now ahead of the May start date.   Robert Khachatryan, CEO of Freight Right, a US-based forwarder whose services are available through the Freightos.com marketplace, reports that at the recent TPM conference “carrier representatives were hinting at about the $1,800-$2,000/FEU range for West Coast volumes and $3,000 - $3,200 to the East Coast.” But with spot prices well below that level – and still falling – this target is likely unrealistic to many shippers. The largest importers – whose contracts generally determine the benchmark for other BCOs each year – haven't signed yet. Khachatryan continued that “it is probably reasonable to expect that contract rates for mid-size forwarders and mid/large BCOs will end up being around $1,500-$1,600/FEU for the West Coast and $2,500-$2,700/FEU to the East Coast.”

- Contracts signed above current spot-levels would probably reflect a few realities: Carrier costs have gone up with inflation, and current spot rates are below break-even for the box lines. As contracts run from May to May, contract rates of $1,500+ may also reflect both carrier and shipper optimism for an H2 rebound in volumes and higher rates into 2024.
- On the flipside, these rates may also signal that – in the absence of a volume recovery and/or if too large a share of volumes opt for the spot market over contracts  – carriers will remove enough capacity to push rates up to profitable levels anyway, a move taken in early 2020 but so far avoided in the last few months.
- BCOs agreeing to these contract rates might also show that some importers are willing to pay something of a premium for better reliability. Meanwhile, shippers who manage to sign contracts nearer current market rates may be at risk of seeing those volumes get rolled for more lucrative spot containers if spot rates indeed climb high enough.

Mar 23 - Turkey tenders to buy estimated 695,000 T wheat - traders
Turkey's state grain board TMO has issued an international tender to purchase an estimated 695,000 tonnes of milling wheat, European traders said on Wednesday. The deadline for submission of price offers is March 28.

Mar 23 - Jordan buys 110,000 tonnes barley in tender, traders say
Jordan's state grain buyer has purchased about 110,000 tonnes of animal feed barley to be sourced from optional origins in an international tender which closed on Wednesday, European traders said. It purchased 50,000 tonnes from trading house Ameropa at $267 a tonne, including cost and freight (c&f), for shipment in the first half of August, and 60,000 tonnes from Viterra at $267 a tonne c&f for shipment in the second half of August, the traders said.

Mar 22 - EU 2022/23 soybean imports reach 8.45 mln T, rapeseed 5.87 mln T
European Union soybean imports in the 2022/23 season that started in July had reached 8.45 million tonnes by March 19, down 14.6% from 9.89 million by the same week last season, data published by the European Commission showed on Tuesday. EU rapeseed imports so far in 2022/23 had reached 5.87 million tonnes, up 54% compared with 3.81 million tonnes a year earlier. 

Mar 22 - Thailand increases 2023 rice export target to 8 mln tonnes
Thailand increased its rice export target for this year to 8 million tonnes, a senior government official said on Wednesday, up from a previous target of 7.5 million tonnes. "The global economy is recovering and (there is) higher rice output in the country," Anucha Burapachaisri said, adding that a volatile exchange rate could impact competitiveness.

Mar 21 - Algeria tenders to buy up to 70,000 tonnes corn
Algerian state agency ONAB has issued an international tender to purchase up to 70,000 tonnes of animal feed corn to be sourced from Argentina or Brazil, European traders said on Monday. The deadline for submission of price offers in the tender is Tuesday, March 21, they said.  

Mar 21 - Taiwan tenders for 56,300 tonnes wheat of U.S. origin
The Taiwan Flour Millers' Association has issued an international tender to purchase an estimated 56,300 tonnes of grade 1 milling wheat to be sourced from the United States, European traders said on Monday. The deadline for submission of price offers in the tender is March 24.

Mar 20 - Canada to increase potash shipments to Bangladesh in 2023
The Canadian trade ministry said on Friday that Canada will increase its shipment of potash to Bangladesh in 2023 to support the south-Asian country's agricultural sector and strengthen its domestic food production and security. The agreement to increase potash supply is between the Canadian Commercial Corp, Saskatchewan-based Canpotex, and the government of Bangladesh, the trade ministry said in a statement, without specifying the amount of increased supply. 

Mar 20 - UK to help Kazakh exports bypass Russia, seeks critical minerals
Britain will help Kazakhstan develop export routes bypassing Russia, British Foreign Minister James Cleverly said on a visit to the Central Asian nation on Saturday, where he also signed a memorandum on supplies of critical minerals. Cleverly said London valued the position of Astana - which has traditionally been closely allied with Moscow - on the Ukrainian conflict.

Mar 18 - Ukraine officials claim grain deal extended for 120 days, Russia claims 60 (AgriCensus)

- The Black Sea grain corridor initiative will be extended for another 120 days, Ukrainian officials stated Saturday, although statements from Russian authorities have contradicted the claim, while the United Nations and Turkey have remained non-commital on the key element of the deal. Nevertheless, the anouncements seemingly end a period of weeks of negotiations and a late effort on the part of Russian authorities to cut the agreement's length in half to 60 just days. Market rumours that there would be an agreement had been growing stronger in the last few days, as the deadline for agreeing any extension loomed. Ukrainian authorities confirmed that the Black Sea grain initiative agreement would be extended for another 120 days via a statement on the official website of the Ukrainian ministry of infrustructure, adding that Ukraine is thankful to partners for “sticking to the agreements”.

- However, the announcement was accompanied by confirmation that an agreement had been reached, but the duration was notably absent. Russian media and authorities, including Maria Zakharova the head of information and press department at the Russian foreign affairs ministry, have claimed the agreement has been extended for 60 days. Ukraine has argued that such a change would effectively mean changing a central tenet of the existing deal and would consequently necessitate an entirely new agreement, which all parties would have to agree to. Under the Ukrainian extension, the next deadline for the deal would be set for July 17, right at the beginning of the new Black Sea crop marketing year.

- If confirmed, the extension of the agreement for a second time brings improved clarity to exports of Ukrainian agricultural produce, but the renewed agreement once again focuses minds on challenges caused by slow inspection pace at Istanbul.
“The main challenge is to speed up inspections in Turkey. This will allow the world to get even more Ukrainian agricultural products. We are also continuing our work on adding the Mykolaiv region ports to the Grain Initiative and expanding the cargo nomenclature,” the note said.
“Ukraine was and remains firmly embedded in the world economy and markets. The ability to export more will allow removal of inflationary risks, and as a result, social tension in many countries of the world,” it also said.

- Despite the tone, there was no official note on the topic from the UN at the time of publication, and only limited comment from Turkey and Russia, with the Turkish president, Recep Tayyip Erdogan, confirming an agreement had been reached, but skimping on further details. The announcement comes just days after a Russian official has said that the country was prepared to agree an extension of the deal, but only for 60 days. That would have meant a significant change to the initial agreement, with Vasiliy Nebenzya, the permanent representative of Russia in the UN, quoted as saying that the deal was not being fulfilled in the way Russia had expected it to be. He argued that a shorter window would give Western powers 60 days to eliminate all the sanctions related to agriculture exports from Russia, with fertiliser exports one of the Russian's key complaints.

- However, wheat exports have racked up an impressive pace in recent weeks, as the country chows through a huge domestic wheat crop that has been estimated at over 100 million mt. Prior to the announcement, and paradoxically to Russian demands, Ukrainian authorities had been calling for the deal to be extened for a full year or even a termless period, arguing that it would make it easier to plan export bookings and logistics. Ukrainian authorities were also pushing for an increase in the number of inspection teams available in Istanbul, as well as the pushing for the cancellation of the requirement to inspect vessels leaving Ukrainian ports and adding the liberated port of Mykolaiv to the agreement.

- Since the start of the war in February 2022, Ukraine’s monthly agriculture export has recovered and been able to hit up to 6 million mt per month of exports, with the three re-opened deep sea ports (Odesa, Chornomorsk, and Pivdenniy) augmented by flows from shallow water ports along the Danube river. Truck and rail deliveries across the border and into neighbouring EU nations have also increased. However, the addition of Mykolaiv and Ochakiv ports could make it possible to increase Ukraine's monthly export capacity to 8 million mt - although industry representatives were not optimistic about such changes and only expected the usual extension of 120 days. Since the start of the shipments within the agreement, Ukraine has shipped 25 million mt of agriculture products according to UN data, while the biggest receiver so far was China, followed by Spain and Turkey.

Mar 17 - Egypt buys Ukrainian wheat amid grain deal extension talks
Egypt's state grains buyer, the General Authority for Supply Commodities (GASC), said on Thursday it bought 120,000 tonnes of Ukrainian wheat in an international tender for shipment April 15-25, 2023. The purchase comes amid talks on the extension of the U.N.-backed Black Sea Grain Initiative, which expires later this week.  

Mar 17 - Japan buys 73,518 tonnes of food wheat via tender
Japan's Ministry of Agriculture, Forestry and Fisheries (MAFF) bought a total of 73,518 tonnes of food-quality wheat from the United States, Canada and Australia in a regular tender that closed on Thursday.  Japan, the world's sixth-biggest wheat importer, keeps a tight grip on imports of its second-most important staple behind rice, buying the majority of the grain for milling via tenders typically issued three times a month.

Mar 16 - Brazil to boost soy processing, exports to China – Abiove
Brazil's record soybean crop this season will allow the nation to boost exports to China while also increasing domestic soybean processing, Andre Nassar, the chief of Brazil's oilseed lobby Abiove, told Reuters. Expectations of a rise in domestic crushing will help make up for a drop in neighboring Argentina, where a drought has partly destroyed soy fields and curtailed the country's ability to produce soymeal and soyoil at a time of high demand. 

Mar 16 - FranceAgriMer non-EU wheat export forecast steady, intra-EU cut
Farm office FranceAgriMer on Wednesday kept unchanged its monthly forecast for French soft wheat exports outside the European Union in the 2022/23 season and slightly reduced projected sales within the 27-member bloc. In a supply and demand outlook for major cereal crops, the office pegged French soft wheat exports this season at 10.45 million tonnes, still 19% above last year with FranceAgriMer pointing to good demand from Morocco.

Mar 15 - Peru mining exports fall almost 20% year/year in January amid protests
The short-term outlook for copper is "pretty healthy," with global stockpiles trending down and mine disruptions having eroded supply from Latin America, Rio Tinto's head of copper Bold Baatar said on Tuesday. "We're seeing pretty good fundamentals," he told Reuters after the opening of the underground phase of the Oyu Tolgoi copper mine in Mongolia, which is set to be the world's fourth-largest copper mine when it is fully operational.  

Mar 15 - Brazil corn exports to China nosedive as soy shipment season kicks off
Brazil's corn exports fell sharply in February as soybean shiments take center stage and Chinese buyers turn to countries like the United States and Ukraine for supplies. According to revised Brazilian trade data, the country's corn sales to China were 70,000 tonnes last month, down from 983,700 tonnes in January and more than 1 million tonnes in December.

Mar 14 - FBX Weekly Overview (Freightos)

- Asia-US West Coast prices (FBX01 Weekly) fell 3% to $1,040/FEU. This rate is 94% lower than the same time last year.
- Asia-US East Coast prices (FBX03 Weekly) dipped 3% to $2,265/FEU, and are 88% lower than rates for this week last year.
- Asia-N. Europe prices (FBX11 Weekly) decreased 30% to $1,515/FEU, and are 89% lower than rates for this week last year.

- The latest US ocean import data from the National Retail Federation show that in February, monthly  volumes fell 14% and were 26% lower than a year ago. Imports were at their lowest since June 2020 and were also lower than any month in 2019. This demand slump, driven by shifts in consumer spending and in inventory surpluses built up last year, continued to push ex-Asia container rates down last week, with transpacific rates now just above $1,000/FEU to the West Coast and Asia - N. Europe prices plummeting 30% to $1,515/FEU, just 12% higher than in March 2019.

- The lull in volumes is resulting in easing congestion levels and also in changes in container flows as reflected in the Container xChange Container Availability Index.  The index, which measures the proportion of weekly import to export flows at ports around the world, shows that the share of imports from the total volumes handled at the ports of LA/Long Beach has fallen 10% compared to last year. At Ningbo, meanwhile, after two years of handling more exports than empty returns and imports, the share of imported containers crossed into and has remained the majority since late last year as demand for exports fell.  But many in the industry are hopeful that we are nearing the bottom of the rate and volume decreases as inventories begin to run down and need to be replenished in the coming months and into peak season.

- The NRF projections suggest this rebound has already begun: March’s import volumes are expected to be 12% higher than in February and 8% higher than in March 2019, despite being well below last year’s mark.  And volumes are anticipated to climb steadily at least through July, with each month’s volumes exceeding 2019 levels and July’s hitting just below 2022 totals for that month.

- Global air cargo demand continued to sag in February as well, with no perceptible post-Lunar New Year bump while passenger capacity continued to recover, though there is some optimism that volumes will rebound in H2 for air as well. In the meantime, Freightos Air Index transpacific rates remain more than 60% lower than last year.

Mar 14 - Saudi Arabia buys 1.043 mln T of wheat for July-Aug arrival
Saudi Arabia bought 1.043 mln tonnes of wheat for July-August arrival, in its first tender in 2023, the Saudi state purchasing agency General Food Security Authority (GFSA) said on Monday. It was bought at an average price of $316.86 a tonne c&f, the GFSA said. 

Mar 14 - Algeria buys at least 420,000 T wheat in tender
Algeria's state grains agency OAIC has bought milling wheat in an international tender which closed on Monday, European traders said in initial assessments. Total tonnage bought was initially unclear. Traders said at least 420,000 tonnes were bought from five trading houses. But some other estimates were as high as 500,000 to 600,000 tonnes.

Mar 13 - South Korea's FLC buys 68,000 tonnes corn in tender
South Korea's Feed Leaders Committee (FLC) purchased about 68,000 tonnes of animal feed corn to be sourced optionally from the United States, South America or Black Sea region in an international tender on Friday, European traders said. The corn was purchased in the combination of an outright price of an estimated $318.99 a tonne c&f with some also bought at a premium over Chicago corn futures, both with an extra $1.50 a tonne surcharge for additional port unloading. 

Mar 13 - South Korea’s MFG bought about 125,000 T feed wheat
South Korea's Major Feedmill Group (MFG) purchased about 125,000 tonnes of animal feed wheat in private deals on Thursday without issuing an international tender, European traders said on Friday. One 65,000 tonne consignment was purchased at an estimated $309.90 a tonne c&f plus a $1.50 a tonne surcharge for additional port unloading.

Mar 10 - Algeria buys about 200,000 T durum wheat in tender -traders
Algeria's state grains agency OAIC is believed to have purchased durum wheat in an international tender which closed on Wednesday, European traders said on Thursday. The precise volume bought was unclear. Initial estimates were around 200,000 tonnes or slightly lower. 

Mar 10 - Japan buys 80,570 tonnes of food wheat via tender
Japan's Ministry of Agriculture, Forestry and Fisheries (MAFF) bought a total of 80,570 tonnes of food-quality wheat from the United States and Canada in a regular tender that closed on Thursday. Japan, the world's sixth-biggest wheat importer, keeps a tight grip on imports of its second-most important staple behind rice, buying the majority of the grain for milling via tenders typically issued three times a month.

Mar 09 - Tunisia buys about 100,000 tonnes durum wheat in tender
Tunisia's state grains agency is believed to have purchased about 100,000 tonnes durum wheat in an international tender on Wednesday seeking the same volume, European traders said. It was said to have been bought in four consignments of 25,000 tonnes, they said.  

Mar 09 - Jordan buys about 50,000 tonnes feed barley in tender
Jordan's state grain buyer has purchased about 50,000 tonnes of animal feed barley to be sourced from optional origins in an international tender which closed on Wednesday, traders said. It was bought at an estimated $279.50 a tonne c&f for shipment in the second half of June.

Mar 08 - FBX Weekly Overview (Freightos)

- Asia-US West Coast prices (FBX01 Weekly) fell 8% to $1,071/FEU. This rate is 93% lower than the same time last year.
- Asia-US East Coast prices (FBX03 Weekly) decreased 10% to $2,344/FEU, and are 87% lower than rates for this week last year.
- Asia-N. Europe prices (FBX11 Weekly) dropped 17% to $2,179/FEU, and are 84% lower than rates for this week last year.

- Last week’s average Asia - Europe container rate decreased 17% compared to a week prior, but the latest daily rates indicate prices are now at about the $1,500/FEU level, a 40% drop since the end of February and about on par with March 2019 rates. This significant come-down suggests Asia - Europe ocean trade has entered price war territory as demand continues to slide and carriers are keeping some excess capacity active.

- Asia - Mediterranean prices are at about $2,755/FEU, a 30% drop since February, but still 30% higher than in 2019. The February reading of the US Federal Reserve’s supply chain disruption index indicates that conditions have now returned to historically normal levels. The removal of disruptions together with decreases in demand continue to push transpacific ocean rates lower as carriers appear willing for now to compete on price for market share here too.

- Asia - US West Coast prices are now just above the $1,000/FEU mark, which is 93% lower than a year ago, 30% lower than in March 2019, and, in fact, lower than any point in 2019. Rates to the East Coast are 87% lower than last year and 15% lower than in March ‘19. A recent joint statement from West Coast port operators and the ILWU reported that both the ports and the union are hopeful that a deal would be reached soon, and negotiations have begun on other West Coast labor issues in the US and Canada as well. But it remains to be seen if the significant discount to ship to the West Coast relative to East Coast rates will be enough to entice some importers – who shifted volumes to East Coast destinations to avoid potential labor disruptions – to shift back to the west before a new agreement is signed.

- Some ocean carriers who used record profits to expand to air cargo are now pulling back on air capacity too as demand for air cargo continues to fall. Some airlines are nonetheless optimistic that this year’s revenue will be stronger than in 2019 even if volumes are well below last year’s levels.

- Freightos.com air cargo data shows transpacific rates increased by about 10% last week, though they are half their level a year ago. And Freightos Air Index rates from Asia to N. Europe were $4.62/kg last week, 30% lower than a year ago, but still about double 2019 levels.

Mar 08 - Jordan buys estimated 60,000 tonnes wheat in tender
Jordan's state grains buyer purchased about 60,000 tonnes of hard milling wheat to be sourced from optional origins in an international tender on Tuesday, traders said. It was bought from trading house Ameropa at an estimated $315.30 a tonne c&f for shipment in the first half of August, they said. 

Mar 08 - EU 2022/23 soft wheat exports at 21.02 mln T, up 8% year on year
Soft wheat exports from the European Union in the 2022/23 season that started in July had reached 21.02 million tonnes by March 5, up nearly 8% from 19.52 million by the same week in 2021/22, data published by the European Commission showed on Tuesday. EU barley exports so far in 2022/23 totalled 4.06 million tonnes, down about 30% compared with 5.83 million a year ago, while EU maize imports were at 18.57 million tonnes, 60% above a year-earlier 11.61 million.

Mar 07 - Australia set for record crop exports after heavy rains
Australia is expected to report record-breaking agricultural exports in the current financial year, the government said on Tuesday, after years of high rainfall boosted yields. Agricultural exports are forecast to hit a record $75 billion in 2022–23, according to the federal Australian Bureau of Agricultural and Resource Economics (ABARES). 

Mar 07 - Tunisia receives few offers in 25,000 T barley tender
The lowest price offered in an international tender from Tunisia's state grains agency on Friday to purchase about 25,000 tonnes of animal feed barley was believed to be $299.95 a tonne c&f, according to initial assessments from European traders. Participation was thin, with some traders saying two trading houses were taking part and others saying three.

Mar 06 - Tunisia receives few offers in 25,000 T barley tender
The lowest price offered in an international tender from Tunisia's state grains agency on Friday to purchase about 25,000 tonnes of animal feed barley was believed to be $299.95 a tonne c&f, according to initial assessments from European traders. Participation was thin, with some traders saying two trading houses were taking part and others saying three.  

Mar 06 - Taiwan's MFIG tenders to buy up to 65,000 tonnes corn  
Taiwan's MFIG purchasing group has issued an international tender to buy up to 65,000 tonnes of animal feed corn, which can be sourced from the United States, Brazil, Argentina or South Africa, European traders said on Friday. The deadline for submission of price offers in the tender is Wednesday, March 8, they said.

Mar 03 - Ukraine doesn't plan to curb 2023/24 wheat exports - govt official
Ukraine sees no need to limit wheat exports for the upcoming 2023/24 July-June season, as the winter harvest looks to be larger than expected, albeit smaller than in peacetime, a top agriculture ministry official said on Thursday. Ukraine was the world's fifth-largest wheat exporter before the war with Russia, and its shipments were especially important to poor countries in Africa and the Middle East. 

Mar 03 - Turkey buys 465,000 tonnes barley in tender - traders
Turkey's state grain board TMO has provisionally bought about 465,000 tonnes of animal feed barley in an international tender on Thursday, European traders said. The tender has concluded and no more purchases are expected, they said. The volume was slightly more than the 440,000 tonnes originally sought.

Mar 02 - FBX Weekly Overview (Freightos)

- Asia-US West Coast prices (FBX01 Weekly) decreased 6% to $1,164/FEU. This rate is 92% lower than the same time last year.
- Asia-US East Coast prices (FBX03 Weekly) fell 1% to $2,597/FEU, and are 85% lower than rates for this week last year.
- Asia-N. Europe prices (FBX11 Weekly) dipped 2% to $2,617/FEU, and are 82% lower than rates for this week last year.

- This year’s TPM was a combination of post-pandemic debrief, projections for the rest of the year and beyond, and sharing of lessons learned. Overall, the sentiment was that things are finally heading back to normal though accompanied by a healthy dose of uncertainty as shake ups in carrier alliances and strategies, a looming surge of new vessels adding capacity to the market, and economic wildcards that could impact consumer demand make the future somewhat murky.

- In the debrief department, Sea Intelligence’s Alan Murphy shared data confirming that – of course – surging demand was the trigger for the unprecedented ocean situation. But it was the record number of vessels that carriers shifted to satisfy the demand that caused the congestion –  which, as Wan Hai’s Vice Chairman, Randy Chen put it, “broke the system” – which was the actual big driver of extreme rates and dismal reliability. As volumes and congestion have eased though, Sea Intelligence data shows that reliability is improving (though still not great) and utilization levels are back to pre-pandemic levels which in turn are driving the decrease in rates.  Looking ahead, ocean freight maven Lars Jensen of Vespucci Maritime encouraged attendees not to fear: He sees the last years as remarkable, but also views the current ocean environment as quite normal in that normal ocean freight market dynamics are back to determining the trends.

- Rates are falling back to pre-pandemic levels or below – this week’s transpac rates are back to about $1,100/FEU to the West Coast – because the market is now in a down cycle, just like it has been many times in the past after an inventory build up and before an inventory correction. He continued that the downturn may be painful (for some), but is not unusual. Likewise the current environment of excess capacity and rate war makes sense while inventories are still high, volumes are low and carriers – in the bumpy “period of instability” ahead of alliance shake ups – have cash reserves to support a push for market share.  

- Jensen thinks carriers are willing to compete relatively strongly on price until the most likely (though not certain) scenario of rebounds in demand and rates starting in the spring. Other experts expressed how current rate levels are also seen as complicating long term ocean contract talks, many of which were taking place this week. And though some shippers are fighting hard to lock in volumes at a discount, some talk of slightly higher contract rates in return for reliable capacity – after so much volatility during the pandemic – are also part of the discussion.

- Finally, tech also played a more prominent role in the narrative than it has in the past. Many in the industry viewed the pandemic as a catalyst for tech adoption in freight, and think the easing of operational pressure will lead to more focus on neglected digital initiatives. In addition to digital connections that can facilitate operational aspects like tracking visibility and eBooking, or pricing visibility that can help shippers or forwarders make better spot decisions or more reliable contracts, CN CEO Tracy Robinson explained that “no one wants to be surprised.” And the way to avoid surprises is through better data and better data sharing.

Mar 02 - Russia says it will only renew grain deal if its own exports are unblocked
Russia said on Wednesday it would only agree to extend the Black Sea grain deal, which allows grain to be safely exported from Ukrainian ports, if the interests of its own agricultural producers are taken into account. The Black Sea Grain Initiative, brokered by the United Nations and Turkey last year, expires on March 18 and cannot be extended unless all parties agree.

Mar 01 - Turkey buys 790,000 tonnes wheat in tender tender - traders
Turkey's state grain board TMO has provisionally purchased an estimated 790,000 tonnes of wheat in an international tender for the same volume on Tuesday, traders said. The tender is over and no more purchases are expected, they said.

Mar 01 - Ukraine urges UN and Turkey to start talks to extend grain deal
Ukraine has sent an appeal to the UN and Turkey to start negotiations on extending a grain export deal, but there has been no response, a Ukrainian government source said on Tuesday. Yuriy Vaskov, Ukraine's deputy minister of restoration, told Reuters last week that Kyiv would ask all sides to start talks to roll over the deal, seeking an extension of at least one year that would include the ports of Mykolaiv.

Feb 28  - Ukraine grain exports down 27% so far in 2022/23 season to 31.8 mln tonnes
Ukraine grain exports are down almost 27% at 31.8 million tonnes in the 2022/23 season so far, hit by a smaller harvest and logistical difficulties caused by the Russian invasion, agriculture ministry data showed on Monday. The volume so far in the July to June season included about 11.2 million tonnes of wheat, 18 million tonnes of corn and about 2 million tonnes of barley.

Feb 28  - South Korean flour mills tender for 85,000 tonnes of wheat - traders
A group of South Korean flour mills has issued a tender to purchase around 85,000 tonnes of milling wheat to be sourced from the United States and Canada, European traders said on Monday. The deadline for submission of price offers in the tender is Tuesday, Feb. 28.

Feb 27  - Russian wheat vessels still stuck in Persian Gulf despite Iran’s promise to clear debt (AgriCensus)

- Vessels carrying Russian wheat to Iranian ports remain at a standstill in the Persian Gulf, stuck where they have been for months, online ship tracking software shows. Some of the boats arrived back in September 2022 and are still not yet discharged despite the Iranian government's month-old promise that it would clear its debts.

- Back on January 25, after the official visit of a Russian delegation to Iran, the two countries reached an agreement that Iran will pay for all the agricultural products that have been stuck in the region, including wheat. But, since then, nothing has moved with vessels totaling around 662,500 mt of wheat still being shown as waiting in the Persian Gulf or at Iranian ports. Much of the wheat that is believed to still be aboard the vessels is mostly thought to have been bought through the government purchasing agency GTC, rather than private buyers.

- Trade sources have told Agricensus that most of the deals done with private buyers have been delivered, discharged and paid. Iran traditionally has faced issues with payments amid long-lasting international sanctions, but in addition to those issues, and against a backdrop of domestic turmoil, it was said that the country has exhausted its funding.

- Meanwhile, traders cannot cancel deals because they will incur significant losses since at the time of contract signing, prices were much higher.

Feb 27  - South Korea’s NOFI buys estimated 69,000 tonnes of corn in tender
Leading South Korean animal feed maker Nonghyup Feed Inc. (NOFI) has bought an estimated 69,000 tonnes of animal feed corn in an international tender for up to 138,000 tonnes which closed on Friday, European traders said. The corn was bought in one consignment for arrival in South Korea around June 15 and was expected to be sourced optionally from the United States, South America or South Africa while traders said Eastern Europe was excluded as a source.

Feb 27  - Insurers count the cost of ships snagged in Ukraine crisis
Insurers are facing half a billion dollars in claims for up to 60 commercial ships still stuck in Ukraine a year after the start of the war with Russia, industry sources said. When the conflict started, more than 90 merchant ships - many with food cargoes onboard - and some 2,000 crew members were caught in Ukraine and unable to leave due to the fighting. Curtailed shipments from major grain exporter Ukraine played a role in the resulting global food crisis.

Feb 24  - China rolls grain corridor into 12-point Ukraine peace statement (AgriCensus)

- China’s ministry of foreign affairs has issued a 12 point position on the war in Ukraine, setting out what some had anticipated would be a peace plan for the region as it marks the first anniversary of Ukraine's invasion by Russia. Among the points, the plan singles out the need for dialogue, assurances on the non-use of nuclear weapons and guarantees for the integrity of Ukraine’s nuclear power plants, but also calls for measures to protect grain exports from the Black Sea.

- Point nine of the position paper, facilitating grain exports, urged all parties to implement the Black Sea Grain Initiative “in a balanced manner, and support the UN in playing an important role in this regard.” The paper then highlights China’s cooperation initiative on global food security, released last year, which is says “provides a feasible solution to the global food crisis.” While many of the points are thinly veiled rebuffs to the US, UK and European Union for its backing of Ukraine’s resistance to the Russian invasion, the country has benefitted from the Black Sea grain corridor more than any other nation.

- United Nations data shows that nearly 21% of the agricultural goods exported through the corridor, which re-opened the key Ukrainian ports of Pivdennyi, Odesa and Chornomorsk back in August, have headed to China, making it the biggest recipient of Ukrainian produce. As one of the world’s biggest importers of corn, China has looked to diversify its import slate recently, finally sorting out access to Brazil’s huge corn reserves to augment its buying from the US and Ukraine. China used to be one of the key buyers of Ukrainian corn and barley, and while barley can be supplied from France, China still needs Ukrainian corn as it is non-GMO, a grade that is hard to source in volume from any other countries that are also able to send supplies to China. China has increased significantly the import of Ukrainian corn in the last few months, after the invasion closed bulk export options, importing 2.4 million mt through December to February 22 dates.

- More recently, with the corridor agreement coming up for renewal, demand has weakened amid the uncertainty over the corridor’s extension – but unlike other buyers, Chinese importers are not able to make a switch and import Ukrainian corn from Romanian ports.

- Cross border links into the EU have been the fallback for Ukrainian products unable to trade from bulk deep water ports, with shippers using rail connections and Danube river connections to get volumes to alternate bulk export terminals.

- However, according to the rules, all loading terminals have to be approved by China, which is not the case for Romania’s primary panamax export facility of Constanta.

- Meanwhile, Bulgarian terminals have been approved, but the loading capacity is limited to 45,000-50,000 mt, while usually China needs bigger panamax-sized cargoes of 60,000-65,000 mt vessels.

- For the corridor itself, mounting delays at the Istanbul inspection point have started to deter buyers of Ukrainian grains, with over 100 ships now waiting to be cleared by the combined Ukrainian, Turkish and Russian inspection teams.

- Meanwhile, the number of vessels cleared per day has fallen to just 2.5 on average, while demurrage costs for many are racking up making Ukrainian grains unattractive despite exporters discounting their cargoes. 

Feb 24  - Grains export push to boost dry bulk shipping market
Bumper soybean harvests in Brazil and unsold grains stocks in the United States are set to boost dry bulk shipping rates as buyers including China restock after supply shocks last year, leading freight operators said. The dry bulk shipping market has been hit in recent months by slow activity, partly driven by the COVID lockdowns in China, one of the world’s biggest generators of seaborne commodities trade including grains as well as coal and iron ore.

Feb 24  - EU cuts soft wheat export forecast, ups stocks outlook
The European Commission on Thursday cut its forecast for European Union exports of common, or soft, wheat, in the current 2022/23 season to 32 million tonnes from 34 million projected a month ago. That would nonetheless be about 9% above 2021/22 exports of 29.3 million tonnes, the Commission's grain supply and demand data showed.

Feb 23  - Brazil's Feb. soy exports seen lower at up to 8.3 mln T  - Anec
Brazil's soybean exports in February are estimated at up to 8.3 million tonnes, a drop from the same period last year amid a slower harvest in 2023, according to data from grain exporters association Anec released on Wednesday. Up until last week, Anec projected soybean exports of up to 9.39 million tonnes this month, a volume that would surpass the 9.1 million tonnes of February 2022.

Feb 23  - Ukraine wants one-year grain deal extension to include new ports
Ukraine will ask Turkey and the United Nations this week to start talks to roll over the Black Sea grain deal, seeking an extension of at least one year that would include the ports of Mykolaiv, a senior Ukrainian official said on Wednesday. The Black Sea Grain Initiative brokered by the UN and Turkey last July allowed grain to be exported from three Ukrainian ports. The agreement was extended in November and will expire on March 18 unless an extension is agreed.

Feb 22  - FBX weekly Overview (Freightos)

- Asia-US West Coast prices (FBX01 Weekly) fell 4% to $1,238/FEU. This rate is 92% lower than the same time last year.
- Asia-US East Coast prices (FBX03 Weekly) increased 1% to $2,633/FEU, and are 85% lower than rates for this week last year.
- Asia-N. Europe prices (FBX11 Weekly) fell 8% to $2,682/FEU, and are 81% lower than rates for this week last year.

- Lunar New Year is now behind us, and as we enter the typical ocean freight lull until peak season a lot of uncertainty remains as to what the rest of the year will look like.  

- On the demand side, transpacific import volumes continue to fall, and though many projections and industry leaders anticipate an H2 rebound, some analysts are not as optimistic.

- On the supply side – even with demand falling – a surge in new containerships from the record orderbook will start being delivered next month.  At the same time some observers expect about 25% of those orders to get postponed, and carriers are increasing the number of older vessel demolitions as ways to reduce capacity.

- On the rates side, transpacific prices dipped slightly to the West Coast and were stable to the East Coast last week, but remain about 90% lower than a year ago, and still below 2019 levels.  Asia - N. Europe rates fell 8% and are now more than 80% lower than last year.  The rate declines are reportedly putting carriers and shippers at odds as long-term transpacific contract negotiations get underway. Shippers are pointing to the spot market as the basis for lower contract rates while carriers argue that inflation-driven cost increases mean prices will have to be adjusted upward.

- In air cargo, some carriers are planning to increase ex-Asia capacity in anticipation of a rebound in demand. In the meantime, demand remains subdued. Freightos Air Index transpacific rates were $3.64/kg last week, 70% lower than a year ago, with Asia - Europe prices at $4.39/kg, 35% lower than last year.

Feb 22  - Jordan buys estimated 60,000 tonnes wheat in tender - traders
Jordan's state grains buyer purchased about 60,000 tonnes of hard milling wheat to be sourced from optional origins in an international tender which closed on Tuesday, traders said. It was bought from trading house Grain Flower at an estimated $333 a tonne c&f for shipment in the first half of July, they said.

Feb 22  - Turkey tenders to buy estimated 790,000 tonnes wheat – traders
Turkey's state grain board TMO has issued an international tender to purchase an estimated 790,000 tonnes of milling wheat, European traders said on Tuesday. The deadline for submission of price offers in the wheat tender is Feb. 28.

Feb 21  - Ukraine grain exports down 28.7% so far in 2022/23 season, exceed 30 mln tonnes
Ukraine grain exports are down 28.7% at 30.3 million tonnes in the 2022/23 season so far, hit by a smaller harvest and logistical difficulties caused by the Russian invasion, agriculture ministry data showed on Monday. The volume so far in the July to June season included about 10.8 million tonnes of wheat, 17.4 million tonnes of corn and about 2 million tonnes of barley.

Feb 21  - Japan seeks 94,387 tonnes of food wheat via tender
Japan's Ministry of Agriculture, Forestry and Fisheries (MAFF) is seeking to buy a total of 94,387 tonnes of food-quality wheat from the United States, Canada and Australia in a regular tender that will close on Wednesday. Japan, the world's sixth-biggest wheat importer, keeps a tight grip on imports of the country's second-most important staple behind rice and buys the majority of the grain for milling via tenders typically issued three times a month.

Feb 20  - Buyer in Thailand purchased about 60,000 tonnes feed wheat - traders
An importer in Thailand is believed to have purchased about 60,000 tonnes of animal feed wheat expected to be sourced from the Black Sea region in a deal on Wednesday, European traders said on Thursday. Romania or Bulgaria were regarded as likely origins, traders said.

Feb 20  - Tunisia tenders to buy soft wheat and barley - traders
Tunisia's state grains agency has issued an international tender to purchase an estimated 100,000 tonnes of soft wheat and 75,000 tonnes of animal feed barley, European traders said on Thursday. The deadline for submissions of price offers in the tender is Friday, Feb. 17.

Feb 17  - Draft increase in Danube-Black Sea canal raises hopes of improved Ukraine logistics (AgriCensus)

- An increase in the depth of a canal linking the River Danube with the Black Sea could improve logistics for Ukraine's shallow water ports and improve flows out in the event that the grain corridor agreement collapses, trade sources have told Agricensus.  The draft of Ukraine's Bystre canal has been increased by 2.5 meters to 6.5 meters from the start through to kilometer 77, and to seven meters from kilometer 77 through to kilometer 166, where the canal meets the Kiliysky estuary, an official note from the Ukrainian Infrastructure Ministry said Friday.
“We managed to increase the permissible draft of ships for the first time during the time of independent Ukraine,” Oleksandr Kubrakov, Deputy Prime Minister for the Reconstruction said.
“Thanks to this, we will be able to ensure more efficient and safe navigation between the Black Sea and the Danube River, as well as increase the flow of cargo through the Danube ports,” Kubrakov said.

- The changes could allow part of the cargo fleet to go directly to the Black Sea through the Bystre canal on the Ukrainian side, and relieve pressure on the Sulina canal, which is controlled by Romanian authorities. Prior to the change, the low draft did not allow the passage of fully loaded cargoes, only the return of empty vessels, according to the trade sources - creating bottlenecks and delays for laden vessels trying to carry grains for export.

- Also, it is expected that vessels with up to 10,000 mt deadweights will now be able to pass the canal, but in the case of such an option, the vessel would likely be only partly loaded to around 6,000-7,000 mt, according to Pavel Sosnovsky, head of independent freight analysis agency ISM. This would be considered a normal volume for cargoes like meal, corn, and soybeans, which require undercharge usually amid higher stowage factor, while wheat amounts shipped now might be limited to lower amounts.  With a deeper draft it will also possibly allow sea vessels to also use the canal alongside river vessels, thus increasing the potential fleet available.

- However, as the canal flows through Ukrainian territory, insurance companies may refuse to provide cover to such shipments, so that part of that fleet will likely stay in Sulina canal. This channel was used prior to the war as an entrance to the port of Reni - a small port that has taken on much greater significance since the Russian invasion began as it is now one of the few ports that are able to manage seaborne exports without use of the Istanbul checks that have caused major delays for exports from Pivdennyi, Odesa and Chornomorsk.

Feb 17  - Buyer in Thailand purchased about 60,000 tonnes feed wheat - traders
An importer in Thailand is believed to have purchased about 60,000 tonnes of animal feed wheat expected to be sourced from the Black Sea region in a deal on Wednesday, European traders said on Thursday. Romania or Bulgaria were regarded as likely origins, traders said.

Feb 17  - Tunisia tenders to buy soft wheat and barley - traders
Tunisia's state grains agency has issued an international tender to purchase an estimated 100,000 tonnes of soft wheat and 75,000 tonnes of animal feed barley, European traders said on Thursday. The deadline for submissions of price offers in the tender is Friday, Feb. 17.

Feb 16 - Jordan issues new tender to buy up to 120,000 tonnes wheat
Jordan's state grain buyer has issued an international tender to buy up to 120,000 tonnes of milling wheat that can be sourced from optional origins, European traders said on Wednesday. The deadline for submission of price offers in the tender is Feb. 21.  

Feb 16 - India's soymeal exports to soar as drought trims Argentine supply
Soymeal exports from India are increasing sharply as drought has hit output from top exporter Argentina, with 500,000 tonnes likely to be shipped from the South Asian country in February and March combined, three exporters said. The drop in Argentina's output has driven up the South American producer's prices, making Indian soymeal more competitive.

Feb 16  - Barge supply tightens in Ukraine's shallow water ports as corridor fears rise (AgriCensus)

- Ukrainian shallow water ports are facing a shortage of barges for transshipment of grains from Ukraine to the Romanian port of Constanta amid further signs that the growing uncertainity over the extension to the Black Sea grain deal is forcing traders into options that are seen as less risky, trade sources have told Agricensus. The transshipment of grains via barges from Ukraine's shallow water ports in the south of the country is one of the main ways that the trade moved volumes out to deep sea ports after the Russian invasion began in February 2022.

- A naval blockade and military attacks meant that all Ukraine's primary export capacity was forced to close, but the shallow water ports allowed traders to move agricultural products to Romanian ports to be loaded onto bigger vessels or to offer Ukrainian grains on a FOB Constanta basis.

- The trade has continued even after Ukrainian deep sea ports were re-opened back in early August with the signing of the grain export deal - although most players switched back to Odesa, Chornomorsk, and Pivdennyi as the shipment was more cost effective as long as the export corridor functioned normally. However, since the queue of vessels waiting for inspection has continued to grow since October, and with the upcoming expiry of the existing deal now barely a month away, the trade has again turned to safer options as it braces for further disruption. As such, loading grains from Ukrainian ports like Reni and Izmail, along the River Danube, has created increased demand and as such there is a shortage of available barges.
"Constanza becomes more and more important, most buyers want execution via Constanza or POC, but with guaranteed execution," a broker said, referring to the collective term for Pivdennyi, Odesa and Chernomorsk.

Feb 15  - FBX Weekly Overview ( Freightos )

- Asia-US West Coast prices (FBX01 Weekly) dipped 1% to $1,295/FEU. This rate is 92% lower than the same time last year.
- Asia-US East Coast prices (FBX03 Weekly) fell 2% to $2,595/FEU, and are 86% lower than rates for this week last year.
 - Asia-N. Europe prices (FBX11 Weekly) were level at $2,920/FEU, and are 80% lower than rates for this week last year.

The latest National Retail Federation (NRF) US ocean import report estimates that volumes will fall 12% in February to a level 26% lower than a year ago and 3% lower than in 2019. Still-stocked inventories, inflation-driven decreases in consumer spending on goods, as well as signs of a continuing shift back to services are the likely drivers for the decline. Despite these factors and though volumes are projected to be well below 2022 levels at least through June, the NRF anticipates a rebound to begin as early as March, with monthly volumes through June projected between 4% and 11% higher than in 2019. In its Q4 results presentation last week, Maersk shared expectations of a recovery as early as Q2. In the meantime, as volumes fall and carriers continue to blank sailings, Maersk also announced the suspension of one of its transpacific services until further notice. The degree of capacity management so far has not been enough to keep transpacific rates at a higher-than-2019 floor.

This fact – especially in the context of the successful stabilization of rates via blanked sailings in early 2020 when volumes collapsed – is leading some analysts to conclude that, at least for now as revenue plummets, carriers are opting to keep overall capacity somewhat above demand levels and battle for market share via a price war.

In the last few weeks, ex-Asia rates have been relatively level, though – with no Lunar New Year increase this year – transpacific prices remain well below 2019 levels.

Though transpacific volumes are decreasing overall, the decline is most pronounced at West Coast ports: Long Beach volumes dropped 28% in January compared to a year prior as the threat of labor disruptions there has pushed demand to the East Coast.

But the long-stalled talks recommenced this week, and East Coast port worker unions – possibly motivated by the impact of labor tensions on West Coast volumes – have already begun negotiating their new contract well ahead of their current agreement’s expiration in September 2024.

Falling demand for e-commerce and air cargo is leading some parcel carriers to reduce capacity. As volumes continue to decline Freightos Air Index data show Asia - N. Europe rates at $3.19/kg and transpacific rates at $4.21/kg have dropped by 30% or more in the last month and are at least 50% lower than a year ago.

Feb 15 - Argentina crop export revenues could fall 23% after drought
Argentina's drought-stricken crops could bring in 23% fewer export dollars this season versus a year earlier, the Buenos Aires grains exchange said in a report on Tuesday. For much of the last year, Argentina's worst drought in sixty years has delayed planting and withered crop outlooks, making life ever harder for farmers in a country where inflation nears 100%. 

Feb 15 - Can Ukraine's grain corridor ease the global food crisis?
It is unclear whether Moscow will extend its participation in a U.N.-backed initiative that has enabled grains to be exported from Ukraine's Black Sea ports. Russia said on Monday it would be "inappropriate" to extend the Black Sea grain deal unless sanctions imposed on Moscow following its invasion of Ukraine on Feb. 24 last year that have affected its agricultural exports are lifted.

Feb 14  - Ukraine grain exports down 28.7% in 2022/23 season, says ministry
Ukraine grain exports in the 2022/23 season, which runs through to June, are down 28.7% to 29.2 million tonnes so far, due to a smaller harvest and logistical difficulties caused by the Russian invasion, agriculture ministry data showed on Monday. The volume included about 10.4 million tonnes of wheat, 16.7 million tonnes of corn and about 1.9 million tonnes of barley.  

Feb 14  - Philippines bought about 110,000 tonnes feed wheat
An importer group in the Philippines is believed to have bought around 110,000 tonnes of animal feed wheat in an international tender which closed on Friday, European traders said on Monday. Most traders expected the wheat to be sourced from Australia but there was also market talk the wheat could be sourced from the United States.

Feb 13 - Algeria bought wheat in tender for shipment to 2 ports
Algerian state grains agency OAIC is believed to have bought milling wheat in an international tender this week which sought limited shipment to two ports only, European traders said on Friday. Purchases reported were around $338 a tonne, cost and freight (c&f) included, and initial assessments put the volume at around 45,000 tonnes, thought to be for March shipment, traders said. 

Feb 13 - South Korea’s KFA buys estimated 64,000 T corn
The Korea Feed Association (KFA) purchased about 64,000 tonnes of animal feed corn sourced from optional origins in an international tender on Friday, European traders said. It was bought an estimated outright price of $335.48 a tonne c&f plus a $1.25 a tonne a surcharge for additional port unloading.

Feb 10 - South Korea’s MFG buys 67,000 corn in tender
South Korea's Major Feedmill Group (MFG) has purchased an estimated 67,000 tonnes of animal feed corn to be sourced from South America in an international tender seeking up to 70,000 tonnes on Thursday, European traders said. Some 49,600 tonnes was bought at an estimated outright price of $343.59 a tonne c&f plus a $1.25 a tonne surcharge for additional port unloading. 

Feb 10 - Taiwan buys estimated 48,100 tonnes wheat of U.S.-origin in tender
The Taiwan Flour Millers' Association purchased an estimated 48,100 tonnes of milling wheat to be sourced from the United States in a tender on Thursday, European traders said. The purchase involved various wheat types for shipment from the U.S. Pacific Northwest coast between March 29 and April 12.

Feb 09  - India may extend wheat export ban to preserve local supplies
India is considering extending a ban on wheat exports as the world's second-biggest producer seeks to replenish state reserves and bring down domestic prices, government sources said. The current ban was scheduled to be reviewed in April and top government officials from food, farm and trade ministries are likely to make a decision on an extension by the end of March, or early April, government and industry sources said, adding they don't expect wheat exports to resume until mid-2024.  

Feb 09  - Egypt in talks to buy wheat, corn from Serbia
Egypt is in talks to import around one million tonnes of wheat, as well as an unspecified quantity of corn, from Serbia as part of its efforts to diversify its grain supplies, the supply ministry said on Wednesday. Supply Minister Ali Moselhy spoke with Serbian officials to also supply wheat and corn from Romania and Bulgaria via Romania's Constanta port, according to the statement.

Feb 08  - FBX Weekly Overview ( Freightos )

- Asia-US West Coast prices (FBX01 Weekly) dipped 1% to $1,307/FEU. This rate is 91% lower than the same time last year.
- Asia-US East Coast prices (FBX03 Weekly) were level at $2,652/FEU, and are 84% lower than rates for this week last year.
- Asia-N. Europe prices (FBX11 Weekly) decreased 15% to $2,920/FEU, and are 80% lower than rates for this week last year.

- The devastation caused by the earthquake in Turkey and Syria this week included serious damage to transportation infrastructure necessary first and foremost to bring aid to those in need. The disaster damaged roads and bridges and shut down the southern Turkish port of Iskenderun until further notice as the quake toppled stacks of containers and caused a major fire. Rail service is also disrupted in parts of the region though major east-west traffic – which is concentrated in northern Turkey – will likely not be impacted.  Air cargo congestion is being reported at many smaller airports as passenger flights are canceled and arriving aid shipments begin to overwhelm handlers, though the major air hub in Istanbul remains open. The aid-driven increase in demand for air cargo into Turkey will likely push rates up.

- In the US, a 50-car train derailment in Ohio which included hazardous materials led to evacuation orders for people in the area of the crash and is delaying Midwest  - Northeast trail shipments in both directions.

- In ocean freight, transpacific rates were level again last week, but remain well below 2019 levels as demand continues to decrease. Lower volumes are leading to less congestion and more vessels arriving on time at US ports. Falling rates are also pushing smaller carriers – who started transpacific services when demand was surging – to exit the lane now.  Some carriers are even expressing concern that the combination of excess capacity and falling demand could lead to a price war.

- Falling Asia - Europe volumes likely contributed to a 15% decrease in ocean rates on this lane last week, even as carriers increase the number of blanked sailings ex-Asia.  The spike in blankings is also leading carriers to more slot-sharing agreements between rival alliances. Relative to ex-Asia trade, transatlantic ocean volumes remain resilient and spot rates are still more than 250% higher than in 2019. But as demand fell on the other tradelanes, carriers rushed to move capacity to the transatlantic.  The addition of vessels has helped push rates down 40% since August, and reports that carriers have recently started blanking sailings on this lane, indicate they’ve now overshot demand levels.

- In air cargo too, transatlantic demand is behaving differently than other lanes, as volumes in January were 6% higher than a year prior, while overall air imports to the US were down 2%. European import air volumes in January were 9% lower than in 2022 – marking the 13th consecutive monthly decline. Freightos Air Index Asia - Europe rates fell to $3.97/kg last week, a level 50% lower than a year ago. But just as demand for air cargo falls, industry experts warn that freighter capacity could reach a decade-high in the near term, partially driven by the extreme growth in e-commerce earlier in the pandemic. Some players like FedEx are already taking painful steps to correct for the downturn in e-commerce, by scaling back some domestic delivery services.

Feb 08  - Algeria starts buying milling wheat in tender – traders
Algeria’s state grains agency OAIC has started buying milling wheat in an international tender which closed on Tuesday, European traders said in initial assessments. Initial purchases reported were around $329 a tonne cost and freight (c&f) included, they said.

Feb 08  - South Korea’s MFG buys estimated 138,000 tonnes corn in tender
South Korea's Major Feedmill Group (MFG) has purchased an estimated 138,000 tonnes of animal feed corn to be sourced from South America and optional origins in an international tender on Tuesday, European traders said. The first consignment of around 70,000 tonnes expected to be sourced from South America was bought at an estimated $339.50 a tonne c&f plus a $1.20 a tonne surcharge for additional port unloading.

Feb 07 - Algeria issues two tenders to buy 50,000 tonnes soft milling wheat
Algeria's state grains agency OAIC has issued two international tenders to buy soft milling wheat to be sourced from optional origins, European traders said on Monday. The tenders both sought a nominal 50,000 tonnes but Algeria often buys considerably more in its tenders than the nominal volume sought. 

Feb 07 - Ukraine grain exports 29.4% down so far 2022/23
Ukraine has exported almost 27.7 million tonnes of grain so far in the 2022/23 season, down from the 39.2 million tonnes exported by the same stage of the previous season, agriculture ministry data showed on Monday. The volume included about 9.9 million tonnes of wheat, 15.9 million tonnes of corn and about 1.8 million tonnes of barley.

Feb 06  - Egypt's GASC bought 60,000 tonnes of Ukrainian corn
Egyptian state grains buyer the General Authority for Supply Commodities (GASC) said in a statement on Saturday it had bought 60,000 tonnes of yellow corn. The shipments will arrive during the second half of February and early March, the statement said.  

Feb 06  - South Korea’s KFA buys estimated 126,000 tonnes corn – traders
The Korea Feed Association (KFA) purchased an estimated 126,000 tonnes of animal feed corn in an international tender on Friday, European traders said. Some 60,000 tonnes expected to be sourced from South America was believed to have been bought from trading house Viterra at an estimated $337.80 a tonne c&f.

Feb 03  - Egypt's GASC books about 535,000 tonnes of wheat in tender
Egypt's state grains buyer the General Authority for Supply Commodities (GASC) has provisionally bought about 535,000 tonnes of wheat in an international tender on Thursday, GASC said, confirming earlier reports from traders. GASC confirmed the tonnage bought and shipment periods in February and March but gave no more details. 

Feb 03  - South Korea’s MFG bought about 60,000 tonnes feed wheat
South Korea's Major Feedmill Group (MFG) purchased about 60,000 tonnes of animal feed wheat in a private deal on Wednesday without issuing an international tender, European traders said on Thursday. It was purchased at an estimated $339.60 a tonne c&f plus a $1.50 a tonne surcharge for additional port unloading. Seller was believed to be trading house ADM.

Feb 02 - South Korea tenders to buy estimated 79,439 tonnes rice – traders
South Korea’s state-backed Agro-Fisheries & Food Trade Corp. has issued an international tender to purchase an estimated 79,439 tonnes of rice, European traders said on Wednesday. The tender seeks non-glutinous brown medium grain rice and non-glutinous milled medium grain rice in a series of consignments for arrival in South Korea in 2023 between May 1 and Dec. 31, they said. 

Feb 02  - Jordan buys about 50,000 tonnes feed barley in tender -traders
Jordan's state grain buyer has purchased about 50,000 tonnes of animal feed barley to be sourced from optional origins in an international tender which closed on Wednesday, traders said. Traders had initially estimated the purchase at up to 60,000 tonnes.

Feb 01  - Export curbs fail to arrest India's booming rice shipments -sources
India's rice exports in 2022 jumped to a record high despite the government's curbs on overseas sale, as buyers continued to make purchases from the South Asian country because of competitive prices, according to government and industry officials. The record exports allowed Asian and African countries to import the staple at a time when supplies of wheat and other grains were hit by drought and Russia's invasion of Ukraine.

Feb 01  - Jordan buys about 60,000 tonnes wheat in tender – traders
Jordan's state grains buyer purchased about 60,000 tonnes of milling wheat to be sourced from optional origins in a tender which closed on Tuesday, traders said. The wheat was thought likely to be sourced from the Black Sea region, with Romanian origin expected to be supplied.

Jan 31  - FBX Weekly Overview (Freightos)

- Asia-US West Coast prices (FBX01 Weekly) were unchanged at $1,325/FEU. This rate is 91% lower than the same time last year.
- Asia-US East Coast prices (FBX03 Weekly) increased 1% to $2,641/FEU, and are %84 lower than rates for this week last year.
- Asia-N. Europe prices (FBX11 Weekly) were level at $3,420/FEU, and are 77% lower than rates for this week last year.

- Transpacific ocean rates to the US West Coast were level this week and well below January 2019 levels alongside new reports of slowing US consumer spending on goods.

- Import volumes handled by East Coast ports remain higher than in 2019 due to the eastward shift of containers that began last year to avoid potential West Coast port labor disruptions – with new reports of small-scale actions by union members in the last few weeks. But despite relatively strong volumes, Asia - US East Coast rates are well below 2019 levels too.    

- Asia - N. Europe prices were stable this week as well. And while there are signs of an economic rebound, import demand remains subdued. In response to falling volumes, carriers are continuing to cancel sailings out of Asia and are taking other steps like slowing vessel speeds and taking longer routes to try and bring capacity down to the current levels of demand. They are also expected to increase the number of older ships that will be scrapped this year. But projections that 2023 ex-Asia volume totals will only be slightly below 2022 imply expectations for a rebound in demand later this year. Transatlantic trade, though, remains an anomaly.

- N. Europe - US East Coast rates ticked up 10% this week and – despite being 19% lower than a year ago – at $5,222/FEU are still nearly 4X their level in 2019. Demand did begin to ease in November, but volumes were still 20% higher than in 2019.  And as opposed to ex-Asia lanes where blanked sailings are climbing, carriers have continued to add capacity to this lane. CMA CGM even announced a Peak Season Surcharge for transatlantic volumes this week, indicating that demand has remained strong into 2023.

Jan 31 - First Australian coal cargoes since end of ban to enter China in FebChina is set to receive at least two cargoes of Australian coal in early February, according to traders and shiptracking data, the first since an unofficial ban on imports in place since 2020 was lifted earlier this month. Coal traders will be paying attention to how easily the shipments pass customs for signs that the informal ban is truly over and in the hopes of sending more Australian coal to China.

Jan 31 - Ukraine grain exports down 30.8% so far in 2022/23, ministry says
Ukraine has exported almost 26.3 million tonnes of grain so far in the 2022/23 season, down from the 37.9 million tonnes exported by the same stage of the previous season, agriculture ministry data showed on Monday. The volume included about 9.4 million tonnes of wheat, 14.9 million tonnes of corn and about 1.8 million tonnes of barley.

Jan 30 - Indonesia 2023 coal exports forecast above 500 mln tonnes  
Indonesia plans to produce 695 million tonnes of coal this year and sees exports of 518 million tonnes, Energy and Mineral Resources Minister Arifin Tasrif said on Monday. That would be higher than Indonesia's 2022 coal production of 687 million tonnes and exports of 494 million, he said.  

Jan 30 - South Korea’s MFG bought about 68,000 tonnes feed wheat
South Korea's Major Feedmill Group (MFG) purchased about 68,000 tonnes of animal feed wheat thought likely to be sourced from Australia in a private deal on Friday without issuing an international tender, European traders said. It was purchased at an estimated $343.85 a tonne c&f including a surcharge for additional port unloading.

Jan 27 - South Africa's RBCT coal exports hit 29-year low in 2022
Coal exports from South Africa's Richards Bay Coal Terminal (RBCT) hit their lowest level since 1993 last year, at 50.35 million tonnes, reflecting a lack of trains to carry coal from mines to port. However, exports to Europe from Africa's largest coal export facility showed a more than six-fold increase to 14.3 million tonnes from 2.3 million tonnes in 2021, RBCT said on Thursday, as European countries scrambled to secure alternatives to Russian supply.  

Jan 27 - South Korea’s NOFI buys 11,000 tonnes U.S. feed wheat in private deal
Leading South Korea's animal feed maker Nonghyup Feed Inc. (NOFI) purchased around 11,000 tonnes of animal feed wheat expected to be sourced from the United States in a private deal on Thursday after earlier making no purchase in an international tender for feed wheat, European traders said. Price in the private deal was estimated at $350 a tonne c&f for unloading in one port.

Jan 26  - Beware Indonesia's coal export heft in 2023: Maguire
The world's top thermal coal exporter shocked global markets a year ago by temporarily banning coal exports to protect domestic power producers, sending coal prices soaring and kicking off an historically volatile year for coal and other power fuels. But since then Indonesia has made a different mark on the global coal arena by setting a new record pace for shipments that if sustained puts it on course to be the first country to surpass half a billion tonnes of coal exports in a single year. 

Jan 26  - Iraq buys 150,000 tonnes of wheat from Australia - Trade Ministry
Iraq has bought 150,000 tonnes of wheat from Australia, the Trade Ministry said in a statement on Wednesday.European traders said in initial assessments that Iraq’s state grains buyer is believed to have purchased about 150,000 tonnes of wheat that was expected to be sourced from Australia in an international on Wednesday.

Jan 26  - FBX Weekly Overview (Freightos)

- Asia-US West Coast prices (FBX01 Weekly) dipped 3% to $1,323/FEU. This rate is 91% lower than the same time last year.
- Asia-US East Coast prices (FBX03 Weekly) decreased 7% to $2,626/FEU, and are 84% lower than rates for this week last year.
- Asia-N. Europe prices (FBX11 Weekly) increased %15 to $3,420/FEU, and are 77% lower than rates for this week last year.

- Container rates on the transpacific edged down slightly last week just ahead of Lunar New Year (LNY) at a time of year demand and rates typically increase. Prices to the West Coast have been relatively stable, decreasing 7% since the start of December, while East Coast rates have fallen 27% despite increases in blanked sailings. But carriers are now set to cancel even more sailings and remove about 50% of scheduled transpacific capacity over the LNY holiday, with reports that they may blank even more in the weeks to follow.

- Early in 2020, as China’s lockdown sent transpacific import volumes plummeting, carriers’ extensive blanked sailing campaigns kept rates from collapsing. In March of 2020, for example, import volumes from China dropped by about 40% from a year earlier, but capacity management kept rates to the US West Coast just 5% lower than in 2019. So carriers are hoping that the same strategy in the coming weeks will stabilize or even push transpacific prices back up somewhat even as demand continues to ease.   

- Meanwhile, reports of overbooked Europe-bound vessels from Asia ahead of the holiday may indicate that blanked sailing campaigns are succeeding to match supply with falling demand on this lane. This trend may likewise be reflected in Asia - N. Europe rates, which increased this week and remain nearly double their level in January 2020.
-
 Observers generally point to the formation of stable ocean alliances as a big reason for carrier success in managing capacity and preventing a rate collapse in early 2020. But this week, MSC and Maersk, the industry’s two largest carriers, announced they will not renew their 2M alliance agreement when it expires at the end of next year, driving speculation that MSC might seek to operate on its own and raising questions as to what this will mean for Maersk and how it could shake up the other alliances.

Jan 25  - North Asia cranks coal imports to fuel industrial reboot: Maguire
Thermal coal imports into China, Japan and South Korea - three of the world's largest coal users - hit their highest combined total in 16 months in December as the North Asian manufacturing powerhouses primed their economies for growth in 2023. Economic momentum in these countries - which collectively accounted for nearly half of all thermal coal imports in 2021 - was subdued in 2022 as China's strict zero-COVID measures stifled industrial activity across the world's largest manufacturing base. 

Jan 25  - EU 2022/23 soybean imports at 6.08 mln T, rapeseed 4.26 mln T
European Union soybean imports in the 2022/23 season that started in July had reached 6.08 million tonnes by Jan. 22, down 19% from 7.47 million by the same week in the previous season, data published by the European Commission showed on Tuesday. EU rapeseed imports so far in 2022/23 had reached 4.26 million tonnes, up 41% compared with 3.02 million tonnes a year earlier.

Jan 24 - Australia's Coronado Global sees coal prices rising on resuming China imports
Australia's Coronado Global Resources said on Tuesday resuming metallurgical coal imports to China would likely push sea-borne coal prices higher in the short term, with strong realised prices in 2022 boosting its annual revenue. The comments come after China, Australia's largest coal importer and trade partner, earlier this month lifted an unofficial ban on coal imports and others commodities from the country after a nearly three-year long geopolitical tussle. 

Jan 24 - Iron ore price rally justified as China's January imports surge: Russell
The price of spot iron ore has been one of the major beneficiaries of expectations of strong demand as China re-opens its economy after abandoning its strict zero-COVID policy. While other commodities, such as crude oil and copper, have also enjoyed recent gains on the back of the China recovery narrative, iron ore's rally seems grounded in actual gains in demand.

Jan 23 - Argentine government, farm exporters seek relief from historic drought
Argentine Economy Minister Sergio Massa met with agricultural exporters on Friday to analyze and "seek solutions" to help the country's key grain industry after it was hammered by the worst drought the country has faced in at least 60 years. The dry spell is contributing to a broader economic slump battering the South American country, marked by sky-high inflation and a weakening local currency. 

Jan 23 - Northbound traffic at Istanbul's Bosphorus to resume after rudder failure
Traffic at Turkey's Bosphorus strait for northbound vessels will resume at 1230 GMT after being halted by a rudder failure, the Tribeca shipping agency said on Sunday. According to a report shared by the agency, Gibraltar flagged ship Vos Apollo had a rudder failure during strait passage and was being assisted by a tug escort.

Jan 20  - China bought less soy from Brazil and U.S. in 2022, more from Uruguay
China's soybean imports from the United States dropped 10% in 2022, customs data showed on Friday, reducing the United States' share of the world's top soybean market to less than a third. Total soybean imports by China last year dropped 5.6% to 91.08 million tonnes, due to high global prices and weaker demand earlier in the year. 

Jan 20  - Egypt's GASC buys 50,000 tonnes of yellow corn in tender
Egypt's state grains buyer, the General Authority for Supply Commodities (GASC), on Thursday said it had bought 50,000 tonnes of Romanian corn in an international tender. The cargo was sold by Ameropa BV at a price of $339 a tonne on a cost, insurance, and freight (CIF) basis, traders said, adding that some offers were excluded because of their specifications.

Jan 19  - FBX Weekly Overview (Freightos)

- Asia-US West Coast prices (FBX01 Weekly) fell 3% to $1,361/FEU. This rate is 91% lower than the same time last year.
- Asia-US East Coast prices (FBX03 Weekly) dipped 2% to $2,812/FEU, and are 83% lower than rates for this week last year.
 -Asia-N. Europe prices (FBX11 Weekly) increased 10% to $2,978/FEU, and are 79% lower than rates for this week last year.

- Transpacific ocean rates to the West Coast have been stable for about six straight weeks, falling below 2019 levels in the last couple weeks with the absence of the typical mini-demand surge ahead of Lunar New Year. Prices to the East Coast have likewise gone mostly unchanged for about a month, and are 83% lower than a year ago. Prices ticked up last week from Asia to N. Europe though they likewise are nearly 80% lower than a year ago.

- Reports of significant blanked sailings alongside some uptick in demand from Asia to the Mediterranean may help explain more resilient rates on this lane.  Through last week prices have remained at about the $4,000/FEU level since early December – more than double the pre-pandemic norm – though daily rates for this week indicate that prices may be starting to ease here as well.

 - Falling demand and easing congestion are resulting not only in a shift of capacity – borrowed from regional and more minor trade lanes as demand surged ex-Asia – back to intra-regional routes, but in falling transit times too.

- Freightos.com marketplace transit time data for China - US ocean shipments show that average shipment duration declined 5% in December from November, and 35% from a year ago, though some lingering East Coast and Gulf congestion is keeping transit times 20% higher than in 2019.

- Freightos Air Index rates ex-China to N. America and Europe have been mostly stable in the last few weeks. But at $5.91/kg and $4.92/kg respectively, prices are more than 30% lower than a year ago when demand was surging including from some ocean to air conversions as ocean delays spiked. Despite these price declines, fuel and labor costs are keeping air cargo rates more than double 2019 levels.

Jan 19 - U.N. calls out Ukraine grain deal backlog, urges improvement
United Nations on Wednesday called out inefficiencies in the operation of a deal allowing Ukraine Black Sea grain exports, but did not lay blame for a backlog of more than 100 ships in Turkish waters waiting on travel approval and inspections. Under the deal agreed by Russia, Ukraine, Turkey and the United Nations in July, ships are inspected in Turkish waters on their way to and from Ukraine. The four parties work together to approve and inspect ships traveling under the agreement.  

Jan 19 - Buyers in Thailand purchased about 117,000 tonnes feed wheat
An importer group in Thailand is believed to have purchased about 117,000 tonnes of animal feed wheat to be sourced from various optional origins in an international tender on Wednesday, European traders said. One consignment of about 60,000 tonnes for shipment between Feb. 15 and March 15 was bought at around $340 a tonne c&f and was expected to be sourced from South America or Australia. Seller was believed to be trading house Viterra.

Jan 18  - Glencore copper mine in Peru running at 'restricted' capacity due to protests - source
Glencore Plc's huge Antapaccay copper mine in Peru is operating at "restricted" capacity due to anti-government protests that saw an attack on the facility last week, a company source told Reuters on Tuesday. "The mine has not yet suspended operations, which overall continue in a restricted manner," the company source said, asking not to be named. Road blockades by protesters were preventing trucks from moving its copper, the source said. 

Jan 18  - Algeria buys milling wheat in tender - traders
Algeria’s state grains agency OAIC has bought milling wheat in an international tender which closed on Tuesday, European traders said in initial assessments. Initial purchases reported were around $334.50 a tonne cost and freight (c&f) included, they said. Estimates of tonnage bought ranged between 510,000 tonnes to 600,000 tonnes.

Jan 17  - Egypt’s GASC has sold around 300,000 T of wheat via new commodities exchange
Egypt's state grains buyer the General Authority for Supply Commodities (GASC) has sold around 300,000 tonnes of wheat via the new Egyptian Mercantile Exchange since its November launch, the exchange head Ibrahim Ashmawy said on Monday. The wheat was mostly of Russian origin with some German wheat also sold, Ashmawy told Reuters.

Jan 17  - Traffic resumes after Ukraine cargo ship grounded near Istanbul
The cargo ship MKK 1, travelling from Ukraine to Turkey, was grounded in Istanbul's Bosphorus Strait on Monday and traffic in the strait was suspended for a few hours, shipping agents Tribeca said. Several tugs were among vessels sent to provide assistance to the ship, the coastguard authority said. It said no damage or spill was reported.

Jan 16  - Cautious China approves GMO alfalfa import after decade-long wait
China approved imports of eight genetically modified (GM) crops, permitting shipments of GM alfalfa for the first time after a decade-long wait, the country's agriculture ministry said on Friday. Global seed makers and the U.S. government welcomed the decision after Beijing's slow approval process disrupted grain exports and launches of crops that need clearance from China because it is one of the world's biggest agriculture markets.

Jan 16  - India to seek easing of EU steel quotas, tarrifs in trade talks
India will seek an easing of European Union steel import quotas and tarrifs in talks for a new trade deal as Indian steelmakers struggle to sell the alloy in one of world's big markets, a senior government official said. Last year, India and the EU relaunched negotiations for a free trade agreement with the aim of completing talks by the end of 2023. The two sides previously launched talks in 2007, but they were frozen in 2013 due to a lack of progress.

Jan 12  - FBX Weekly  Overview (Freightos)

- Asia-US West Coast prices (FBX01 Weekly) increased 1% to $1,396/FEU. This rate is 90% lower than the same time last year.
- Asia-US East Coast prices (FBX03 Weekly) dipped 1% to $2,858/FEU, and are 84% lower than rates for this week last year.
- Asia-N. Europe prices (FBX11 Weekly) fell 1% to $2,712/FEU, and are 81% lower than rates for this week last year.

- The latest National Retail Federation data on US ocean imports estimate that December volumes were 10% lower than a year earlier, and that imports through May will likewise consistently be below 2021-2021 levels.  But monthly volumes since June, when imports began decreasing, and projections through May all remain above 2019 levels, suggesting that – for now – ocean demand is in a process of normalization from the sustained surge of the last couple years, as opposed to a recession-driven collapse. The NRF projects that growth will return in the second half of the year.

- Normalizing volumes – and easing congestion along with the drop in traffic – are likewise leading to stabilizing and normalizing ocean rates, as ex-Asia container prices went largely unchanged last week.

- The build up of inventories and some slowdown in US consumer demand in the second half of last year has meant the absence of the typical mini-surge in volumes and spot rates just ahead of Lunar New Year, which starts on the 21st.  This difference may likewise account for Asia - US West Coast rates being 11% lower than in January 2020 when – despite the first signs of the pandemic – prices climbed ahead of the holiday.

- Despite falling volumes and a significant decline in price, Asia - N. Europe rates remain more than 25% higher than in early 2020, possibly an indication that blanked sailings by carriers may have slowed the rate slide on this lane.  
- Early in the week a bulk vessel grounded in the Suez Canal temporarily disrupting traffic and bringing to mind the major blockage of the canal in 2021. The ship was refloated only a couple hours later, but – given that carriers now have excess capacity available to address disruptions, compared to virtually no free ships at the time the Ever Given got stuck – even if the delay was longer the impact would likely not have been as pronounced as last time.
- Likewise, the system outage that led to the temporary grounding of US departing flights this week will likely lead to some air cargo delays and pressure on the market.  But as demand has eased in air cargo too, the recovery should be easier than under the surge experienced a year ago.

Jan 12 - Upcoming Chinese holiday, high coal stocks keeping lid on Australian trade
Chinese interest in Australian coal has been limited by the upcoming Lunar New Year holiday and high domestic inventories, meaning few deals have been completed since China lifted an unofficial ban on imports last week. Thawing diplomatic relations between Australia and its biggest trading partner led to China allowing three power utilities and the country's largest steelmaker to resume Australian coal purchases for the first time since 2020.  

Jan 12 - China extends dumping duties on U.S. distillers grains for five years
China's Commerce Ministry said on Wednesday it will continue to impose anti-dumping and anti-subsidy tariffs on the animal feed ingredient distillers dried grains (DDGS) imported from the United States for another five years. The move, widely expected by the industry, keeps tariffs amounting to as much as 66% on the product, after they expired in 2021 and were followed by a one-year review period ending on Jan. 11.

Jan 11 - Egypt's GASC books Russian wheat in tender
Egypt's state grains buyer, the General Authority for Supply Commodities (GASC), is believed to have booked at least 60,000 tonnes of Russian wheat in an international tender on Tuesday, traders said. An additional 60,000 tonnes could be bought depending on the arrangement of bid bonds by the supplier Aston, traders added.  

Jan 11 - Brazil's Anec says corn exports to China already exceeds 1 mln tonnes in January
Anec, a Brazilian trade group representing grain exporters, on Tuesday said the country has booked shipments of more than 1 million tonnes of corn to China in January, putting Brazil on course to export a record overall volume in the current month. Earlier in the day, Anec revised its Brazilian corn exports estimate for January to 5.024 million tonnes, up from 4.326 million tonnes forecast in the previous week, reflecting a surge in sales to China.

Jan 10  - Ukraine grain exports down 29.6% at 23.6 mln T so far in 2022/23
Ukraine has exported almost 23.6 million tonnes of grain so far in the 2022/23 season, down from the 33.5 million tonnes exported by the same stage of the previous season, agriculture ministry data showed on Monday. The volume included around 8.6 million tonnes of wheat, 13.3 million tonnes of corn and about 1.7 million tonnes of barley.

Jan 10  - Traffic in Suez Canal normal after ship breakdown dealt with - SCA
Shipping traffic in the Suez Canal was proceeding normally on Monday after tugs towed a cargo vessel that broke down during its passage through the waterway, the Canal Authority said. The breakdown was expected to cause only minor delays, with convoys of ships resuming regular transit by 11:00 local time (09:00 GMT), shipping agent Leth said.

Jan 09 - Black Sea shipping rates rise as reinsurers cut cover
Costs for hiring ships to transport commodities from the Black Sea have risen by more than a fifth since the start of the year, reflecting higher war risk insurance rates, industry sources said. The Black Sea is crucial for the shipment of grain, oil and oil products.  

Jan 09 - France's top grain export terminal eyes 14% rise in 2022/23 tonnage
Senalia, operator of France's largest grain export terminal, aims to load 4.6 million tonnes of cereals in the 2022/23 season to June 30, up nearly 14% from 2021/22, supported by Chinese demand and war disruption to Black Sea trade, it said on Friday. France is the European Union's biggest grain supplier and its brisk wheat shipments have contributed to higher overall EU wheat exports so far this season.

Jan 06 - China coal buyers may be left wanting in Australia even after ban lifted
China is preparing to resume coal imports from Australia after a two year freeze as it looks to stave off a domestic shortage, but it may be forced to pay higher prices given that Australia's miners have already found new customers. China's state planner has allowed three central government-backed utilities and its top steelmaker to resume coal imports from Australia for the first time since Beijing imposed an unofficial ban on coal trade with Canberra in 2020, Reuters reported on Wednesday.  

Jan 06 - Tunisia buys 100,000 tonnes soft wheat, 75,000 tonnes feed barley
Tunisia's state grains agency is believed to have purchased about 100,000 tonnes of soft wheat and 75,000 tonnes of animal feed barley in an international tender on Thursday, European traders said. Traders said they believed the soft wheat was bought in four 25,000 tonne consignments.

Jan 05 - China allows four firms to resume Aussie coal imports China's state planner has allowed three central government-backed utilities and its top steelmaker to resume coal imports from Australia, the first such move since Beijing imposed an unofficial ban on coal trade with Canberra in 2020. The partial easing of the coal import ban comes after the Australian and Chinese foreign ministers met last month seeking to reset the frosty diplomatic relations between the two nations. 

Jan 05 - Russia's January wheat exports seen at at least 3.6 mln T Russia's January wheat exports will remain high for this time of the July-June marketing season - at at least 3.6 million tonnes - after a huge 2022 grain crop, analysts said. Russia, the world's largest wheat exporter, harvested a record grain crop of 151.0 million tonnes after drying and cleaning, including 102.7 million tonnes of wheat, according to preliminary official 2022 data. 

Jan 04 - Indian power plants should be compensated for importing coal
Indian power plants that rely on imported coal should be fully compensated for supplying electricity demand under forced circumstances, the country's power regulator said on Tuesday. Power tariffs for imported coal-based plants should cover their costs as well as a "reasonable profit margin," the Central Electricity Regulatory Commission (CERC) said in an order dated Jan. 3. 

Jan 04 - EU 2022/23 soybean imports reach 5.52 mln T, down 16% year on year
European Union soybean imports in the 2022/23 season that started in July had reached 5.52 million tonnes by Jan. 1, down almost 16% from 6.55 million by the same week in 2021/22, data published by the European Commission showed on Tuesday. EU rapeseed imports so far in the 2022/23 season had reached 3.73 million tonnes, nearly 38% above the 2.71 million tonnes a year earlier, the data showed.

Jan 03 - Sovecon raises 2022/23 Russian wheat export forecast
Sovecon, a leading Black Sea agricultural markets research firm focused on Russia and Ukraine, has increased its 2022/23 Russian wheat export forecast by 0.2 million tonnes to 44.1 million tonnes, it said on Friday. Sovecon expects record or near-record monthly export volumes in the second half of the July-June season.  

Jan 03 - Indonesia to import 3.6 mln T raw sugar, 991,000 T white sugar
Indonesia plans to import 3.6 million tonnes of raw sugar for industrial use and about 991,000 tonnes of white sugar for consumers, its trade minister said on Monday. Zulkifli Hasan did not provide a time frame for the imports.