Multi-purpose Cargo Ships – Market Survey Predicts Rise in Rates

Lastest market review states that demand for cargo space on the multi-purpose (MPV) fleet remains firm

Drewry’s latest Multipurpose Shipping report reveals that rates have started to firm again and the demand outlook is steady for both breakbulk and project cargo, while the fleet supply is under control.

MPV market share continued to rise over 2011 as non-containerised cargo volumes benefited from the rise in general cargo trade. Those volumes are expected to continue to rise throughout the forecast period, however Drewry expects the MPV share to drop from 2014 onwards, due to competition from both the container and Handy sectors.

One of the principal contributing factors to MPV demand is general and project cargo where there was a significant increase in volumes during 2011. Although the next couple of years are expected to see stable volumes levels, this sector faces the most competition from container ships and ro-ro carriers.
 
Susan Oatway, author of the Multipurpose report stated “Over the past year we have heard more and more stories of this type of cargo moving in containers. A number of the major lines have invested in open-top or flat-rack containers, designed specifically to carry the heavy, awkward cargoes that used to be the preserve of the project carrier fleet. And a number of lines have told us they are aggressively marketing this service.”