Freight rate rout grounds another carrier

Singapore

A SECOND dry cargo shipping company has filed for bankruptcy following a collapse in freight rates that has forced many companies to idle vessels used to haul iron ore, coal and grain rather than hire out the ships at a loss.

Weaker demand from China and an oversupply of ships have led to the worst industry downturn in 30 years, pushing the Baltic dry index - the industry benchmark for freight rates - to an all-time low.