This was a rise of 26% and 38% respectively from the previous corresponding period and outperformed the BHSI and BSI spot market index benchmarks by 18% and 3.5% respectively, Pacific Basin added.
"Following a positive end to 2016, dry bulk freight market indices followed a familiar pattern with a short seasonal decline in early 2017 and recovery after the Chinese New Year period. However, rates remained well above the historic low levels of one year ago," it said in a press release.
In terms of charter days, Pacific Basin said that as the end of the first quarter till the end of the year, it had covered 37% of its 29,520 contracted handysize revenue days at around $8,520 per day and 65% of its 11,210 contracted supramax revenue days at around $10,090 per day.
The group continues to optimise its fleet as market conditions change, with the owned fleet increasing to 100 ships after the delivery of six newbuildings so far and the remaining delivery of a last newbuilding in the second quarter. Meanwhile, taking advantage of good second hand prices, the group also traded up to a newer, bigger supramax and purchased a seven-year old handysize.
It added that it will "continue to look for opportunities to purchase quality vessels and access attractive fleet renewal opportunities".
Looking back at the first quarter, Pacific Basin said: "Market conditions improved after the seasonal dip around Chinese New Year, especially in the Pacific which started the year weaker than the Atlantic. By the end of the quarter, Pacific rates were at their highest in over two years, partly driven by increased Chinese economic and industrial activity, and Chinese minor bulk imports which, based on weekly sales data, are estimated to have increased around 24% in the first two months compared to the same period in 2016."
The group cautioned about the supply situation however, noting that scrapping has slackened off due to the improved freight rate environment while newbuilding deliveries have roughly matched last year’s level, resulting in net fleet growth of approximately 1.5% during the quarter.
"While we believe the worst of the current dry bulk market cycle is behind us, the market improvement year-on-year was from a very low base and both supply and demand factors remain uncertain," Pacific Basin warned.
"More patience, scrapping and lack of ordering are required for a more fundamental market balance to be sustained." it concluded.
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