Toepfer Transport: MPP rates slip as container carriers withdraw from the sector
Toepfer Transport’s MPP Index has continued its downwards trajectory as container carriers withdraw from the multipurpose sector. The Index slipped 6.1 percent month-on-month.
The Hamburg-based shipbroker reported a TMI value of $20,289 for the month of October 2022, which compares to $21,608 in the previous month. This is still 29.45 percent above the figures posted by Toepfer Transport in October 2021.
Looking ahead six months, Toepfer expects the Index to edge downwards a further 7.25 percent while it is expected to slip 12.26 percent over the following 12-month period.
The MPP operators are currently facing a certain dip in demand from the traditional breakbulk sector which meets
a significant withdrawal of interest from container carriers, especially for large MPP units, which is clearly reflected
in the spot charter rates.
On the other hand, many demanding industrial projects are expected to be moved forward in the next months which are likely to cause a high utilisation of the more sophisticated ships in the fleet.
Newbuilding activity remains low. We expect that an inflationary rise will not have effect on newbuilding prices
which have by now rather dropped to a level seen three months ago.