MPP Index breaks the fall first time since June 2023
Despite reported volatility in the multipurpose vessel sector, the Toepfer Transport MPP Index has stopped the fall for the first time since June 2023. While the uptick may not be much to write home about, it was a positive change as cargo bookings increased.
According to the Hamburg-based shipbroker Toepfer Transport, its MPP Index for the month of February 2024 is hovering around the same level as January. The February MPP Index is at $11.684 per day, according to Toepfer Transport. Compared to February 2023, the Index slipped 22.8 per cent.
Looking forward, Toepfer Transport predicts a more noticeable increase of 3.09 per cent over the following six months, while it predicts the TMI to be 8.92 per cent higher in February 2025.
“After a quite quiet December, the pace of cargo bookings increased but the carriers still report high volatility of the activity which seems to change on a week-by-week basis,” Teopfer Transport’s analysts said.
“Most carriers avoid sailing to areas which are endangered by the Houthi attacks and the additional tonnage miles created by ships sailing via the Cape of Good Hope increase the fleet utilisation while, on the operational side, requiring permanent adjustments on mid-term and long-term scheduling. These effects help to stabilise the charter market and thus the TMI is moving (very) slightly upwards again,” according to the analysts.
There was only one change in the newbuilding prices for 9,000 dwt,12,500 dwt and 30,000 dwt MPP vessels, according to Toepfer Transport, with the 9,000 dwt price increasing from $20 to $21 million, while the 12,500 dwt and 30,000 dwt MPP vessel newbuilding prices remained at $30.75 and $51 million.
Prices on the second-hand market remained unchanged at $10.50, $14.75 and $18.50 million for the 9,000 dwt, 12,500 dwt and 30,000 dwt vessels, respectively.