Toepfer Transport’s Multipurpose Index (TMI) has dipped below $20,000 for the first time in ten months as the correction of time charter rates in the MPP sector continues. TMI dipped 6.77 percent month-on-month. 

The Hamburg-based shipbroker noted in its latest report that the multipurpose index hit $18,915 for the month of November, continuing the slide that could have been observed over the past couple of months. November figures were down from $20,289 reported for the month of October 2022. However, the Index is only 8.66 percent above the figures reported for November 2021.

Looking ahead six months, Toepfer expects the Index to edge downwards a further 4.54 percent while it is expected to slip 6.18 percent over the following 12-month period.

Commenting on the Index movement, Toepfer Transport’s analysts say the MPP market correction continues with the Index trending downwards about 6 percent per month over the last three months. This has resulted in the Index dipping past below $20,000.

“We believe that this is a healthy trend which could lead to a sustainable rate level that is needed to make the much-needed investments into the MPP fleet viable,” the report reads.

Furthermore, Toepfer Transport’s analysts added that the secondhand market remains bullish. Ships are still being fixed at high levels showing confidence in the future rate developments.