The gradual resumption of bauxite exports from Guinea, after the end of the rainy season, has caused intense activity of Capesizes in West Africa. More than 60 vessels are already in loading ports or heading towards the country, a number that constitutes a six-month high and reflects the significant upturn of the market.
The return of intense activity in the Atlantic has limited the supply of vessels to the Pacific, supporting the time-charter averages. According to the latest estimates, Guinea is heading towards a historic record of bauxite exports in the fourth quarter, while the upcoming first iron ore shipments from Simandou are estimated to further boost demand.
As a key bauxite supplier to China, the country reaffirms its role as a balancing factor for the Capesize market, at a time when the oversupply of capacity and the limited flows from the Pacific continue to have a restraining effect on the freight market.
