Register with us today

and in less than 60 seconds continue your access to:Latest news headlinesAnalytical topics and featuresCommodities videos, podcast & blogsSample market prices & dataSpecial reportsSubscriber notes & daily commodity email alerts

Already have an account?

Log in to register

Forgot Password

Platts proposes to change methodology for clean MR assessments on 4 routes to E Africa, S Africa to all-inclusive basis

S&P Global Platts is proposing to change its methodology for assessing East of Suez clean Medium Range tanker freight rates for four voyages from the Arab Gulf, Red Sea and West Coast India to East Africa and South Africa to an all-inclusive basis that incorporates a security cost, effective April 1, 2021.

Currently, these tanker freight assessments, which are assessed on a Worldscale basis, do not factor in the security cost.

The proposed change is to align with the current market practice, where the security cost for freight into East Africa and South Africa is now included in a single Worldscale rate by market participants for these voyages. Platts understands fixtures concluded, those placed on subjects, bids, offers and freight indications on these routes are currently based on an all-inclusive Worldscale freight rate.

Previously, a lumpsum security cost of around $150,000 was charged separately from the Worldscale freight rate for these voyages.

The affected daily assessments are:
Worldscale %
$/mt
Arab Gulf-East Africa
35 kt
PFAMS00
TCAAE00
Arab Gulf-South Africa
35 kt
TCASX00
TCASW00
Red Sea-East Africa
35 kt
PFAMR00
TCABH00
West Coast India-South Africa
35 kt
TCAIV00
TCAIU00
The affected monthly averages are:
Arab Gulf-East Africa
35 kt
PFAQA03
TCAAE03
Arab Gulf-South Africa
35 kt
TCASX03
TCASW03
Red Sea-East Africa
35 kt
PFAQU03
TCABH03
West Coast India-South Africa
35 kt
TCAIV03
TCAIU03

These assessments appear in the Platts Clean Tankerwire; on pages PGT2920, PGT2921, SHP0320 and SHP0321; as well as in the Platts price database under the codes shown above.

Please send any questions or comments to shipping@spglobal.com and pricegroup@spglobal.com by Feb. 26, 2021.

For written comments, please provide a clear indication if comments are not intended for publication by Platts for public viewing. Platts will consider all comments received and will make comments not marked as confidential available to the public upon request.