No swift recovery seen for depressed bulk freight rates

Busan, South Korea

BULK freight rates are set to remain under pressure, as cooling commodity demand coincides with a bigger vessel fleet, increasing the pressure for consolidation in the sector, industry analysts said.

Sokje Lee, executive director for Korea at JP Morgan, said there was a risk shipping rates could remain low for years. "Don't look for an increase in freight rates. Instead, the way to make money is to save costs," he told a shipping conference in the Korean port city.