The rise of charter rates for multipurpose vessels has continued to climb with the Hamburg-based broker Toepfer Transport saying its index has risen for the 17th consecutive month. The broker said that a $20,000 benchmark is not out of sight for its Multipurpose Shipping Index (TMI).

In its latest briefing, Toepfer Transport said that its Multipurpose Shipping Index reached $17,407, which is an 11.06 percent jump compared to the previous month and a 158.69 percent jump year-on-year. The index has been rising each month since June 2020.

Owners who may offer F-Type positions in Asia, are seeing the $20,000 already for shorter-term fixtures. The search for tonnage and the need to move containers and project cargo keeps the competition pushing freights and time charter levels to new highs.

The broker reminded that after years of planning, AAL has placed order for four 32,000-dwt MPP newbuilds with three cranes of 350 tonnes in a market environment that could be no better proof that the addition of modern, efficient tonnage is badly needed.

It appears, however, that the newbuilding price levels have reached a plateau, Toepfer Transport believes a further increase of prices can only be sustained if the freight levels stay strong for some more months which would strengthen owners’ confidence that investments will pay off and the shortage of ships is not a temporary phenomenon. Owners who engage in the purchase of second-hand vessels, have to pay up for the few modern MPP vessels still available for sale.”