maritime transportation from cis countries vitaliy smilyk head of maritime research department,...

Maritime Transportation from CIS Countries

Vitaliy Smilyk

Head of Maritime Research Department, Metal Expert

5th Annual Dry Bulk Shipping Market Outlook Conference, 9th and 10th September 2008, Crown Plaza London

•Part of Information agency Metal Courier established in 1994

•Reliable source of information on global steel and raw materials markets

•Provider of daily news, weekly reviews, monthly analytical bulletins, quarterly forecasts, special reports and consulting services

•Organizer of several international steel and raw materials and transportation conferences

•Offices in Dnipropetrovsk (Ukraine), Moscow (Russia), and Houston (Texas, USA)

Metal Expert in brief:

Report`s structure:1. Main cargoes handled in ports of CIS and Baltic States

2. Largest cargo owners of Russia and Ukraine and ports they work with

3. Major destinations of Russian and Ukrainian exports

4. Freight markets of the CIS and Baltic countries

Part 1Main cargoes handled in ports of CIS and

Baltic States- coal (83mt);

- steel (57mt);

- fertilizers (38mt);

- grain (25mt);

- iron ore (18mt);

- timber (16.5mt);

- construction cargoes (10.5mt incl. 5mt of clay);

- scrap (9mt);

- pig iron (7mt);

- sulphur (6.5-7mt);

- nonferrous metal ores (5mt);

- nonferrous metals (4mt);

- sugar (4mt – import and export);

- coke (1mt)

Demand for vessels for cargo transportation from CIS

Coal

Baltic Sea ports – 31.5mt

Azov and Black Sea ports – 21.8mt

Far East ports – 18.3mt

Northern ports – 11.2mt

Steel

Azov and Black Sea ports – 38mt


Caspian Sea ports – 5.5mt


Fertilizers

Baltic Sea ports – 20mt


Northern ports – 2.8mt

Far East ports – 1mt

Grains

Traditionally, main volumes of grain cargoes are shipped from Azov and Black Sea ports (20mt in 2007). Ports of Baltic Sea basin worked 6.1mt.

Iron ore

Ports of Black Seas handled 17mt of iron ore in 2007, while Baltic and Northern ports – only 1mt.

Kovdor GOK is boosting iron ore transportation through Murmansk; above 1mt will be shipped from this port in 2008.

Timber



Northern and Caspian ports – 0.5mt each

Construction cargoes (including clay)


Baltic Sea ports – 2mt

Scrap

Last year, CIS and Baltic ports handled some 9mt of scrap: Baltic Sea ports – above 4mt; Azov and Black Sea ports – some 3-4mt; Far Eastern ports – 1mt.

Pig iron

Azov and Black Sea ports – 4.7mtFar East ports – 1.1mtBaltic Sea ports – 1mt

Sulphur

Main volumes of sulphur exported from CIS are handled in Azov and Black Sea ports – 6.5mt out of total 7mt.

Nonferrous metal ores


Far East ports – 1mt

Nonferrous metal




Sugar

Ports of CIS and Baltic States handled above 4mt of sugar (incl. export and import). Main volumes were shipped from Azov and Black Sea ports (3.5mt).

Summary

1 part

Largest ports of CIS and the Baltics handling coal:

Vostochny Port – 16mt

Murmansk SMP – 11.2mt

Riga Free Port – 10.5mt

Rosterminalugol (Ust-Luga) – 6mt

Yuzhny SMP – 4mt

Tallinn Port – 3.7mt

Mariupol SMP – 3.7mt

Largest ports of CIS and the Baltics handling steel:


Odessa SMP – 5.8mt

Novorossiysk Sea Merchant Port (SMP) – 5.3mt

Port of Saint Petersburg – 4.3mt

Nakhodka SMP – 3.6mt

Illyichevsk SMP – 3.3mt

Astrakhan Ports – 3.2mt

Largest ports of CIS and the Baltics handling fertilizers:


Klaipeda State Sea Port – 5.3mt

Yuzhny SMP – 3.6mt

Ventspils Free Port – 3.3mt

Transinvestservice (Yuzhny SMP) – 2.1mt

Murmansk SMP – 2.1mt

Largest ports of CIS and the Baltics handling grain:

Novorossiysk Sea Merchant Port (SMP) – 6mt

Rostov Port– 2.4mt


Transinvestservice (Yuzhny SMP) – 1.7mt

Special Economic Zone Liepaya– 1.2mt

Klaipeda State Sea Port – 1.2mt

Azov Sea Port (SP) – 1.1mt

Kherson SMP – 1mt

Largest ports of CIS and the Baltics handling iron ore:


Izmail SMP – 3.1mt

Illyichevsk SMP – 2.7mt

TIS-Ruda (Yuzhny SMP) – 1.2mt

Largest ports of CIS and the Baltics handling timber:

Riga Free Port – 3mt

Khabarovsk Territory Ports – 2.8mt


Novorosleseksport – 2mt

Largest ports of CIS and the Baltics handling construction cargoes:

Mariupol SMP – 3.3mt (clay)

Kherson SMP – 1.7mt

Feodosiya SMP – 1mt (clay)

Klaipeda State Sea Port – 1mt

Largest ports of CIS and the Baltics handling scrap:

Port of Saint Petersburg – 2.5mtRostov Port -1mtEsteve (Tallinn) – 0.7mtKlaipeda State Sea Port – 0.6mt

Largest ports of CIS and the Baltics handling pig iron:


Nakhodka SMP – 1mt


Kaliningrad Sea Fishing Port – 0.6mt

Largest ports of CIS and the Baltics handling sulphur:

Buzan-port – 1.9mt

Kerch SMP (roads) – 1.6mt


Ust-Donetsk SMP – 1mt

Part 2Largest cargo owners of Russia and Ukraine and ports they work with

Russia’s exportersCoal

Shipper Port 2007 2006Change y-o-y (07/06)

SUEK 21 964.5 20 452.6 7.4%Murmansk SMP 8 480.2 7 356.2 15.3%Vostochny Port 5 834.7 5 058.0 15.4%Riga Free Port 1 870.1 2 935.8 -36.3%Port of Saint Petersburg 1 645.9 906.4 81.6%Vysotsk Port 1 205.2 890.3 35.4%

Ventspils Free Port 1 142.2 1 052.4 8.5%Tallinn Port 719.3 1 392.4 -48.3%Azov Sea Port 662 230.1 187.8%

Russia’s exporters Coal

Kuzbassrazrezugol 18 001.6 18 276.0 -2%Riga Free Port 4 975.2 4 291.6 16%Vostochny Port 3 091.6 3 511.8 -12%Ust-Luga SMP 2 986.1 1 196.8 150%Tuapse SMP 2 196.0 3 043.5 -28%Ventspils Free Port 1 162.4 387.8 200%Yuzhny SMP 1 586.8 2 181.9 -27%Tallinn Port 1 174.1 2 456.5 -52%

Ukraine’s exportersCoal


Sverdlovantratsyt 1 284.1 1 263.8 2%Nikolayev SMP 511.6 379.2 35%Mariupol SMP 409.7 543.2 -25%Berdyansk SMP 312.3 248.3 26%

Russia’s exportersSteel semi products


NLMK 3 673.2 3 849.3 -5%Novorossiysk SMP 1 358.8 1 266.0 7%Tuapse SMP 1 184.5 1 875.2 -37%Port of Saint Petersburg 914 640 43%



ZSMK 1 677.7 2 996.3 -44%Nakhodka SMP 1 485.1 2 222.7 -33%



NTMK 1 634.2 1 813.5 -10%Novorossiysk SMP 662.4 880.7 -25%Nakhodka SMP 467.4 440.5 6%

Ukraine’s exportersSteel semi products


Azovstal 2 563.3 2 745.1 -6.60%Mariupol SMP 2 117.2 2 202.1 -3.90%

Ukraine’s exportersSteel semi products


Yenakievo 2 208.7 2 009.9 9.90%Mariupol SMP 1 664.2 1 782.9 -6.70%

Russia’s exportersFinished steel products


MMK 3 905.0 4 955.2 -21%Novorossiysk SMP 1 775.8 2 194.5 -19%Eisk Port 1 055.6 1 076.2 -2%Astrakhan Ports 648.7 486 34%

Russia’s exportersFinished steel products


NLMK 1 487.3 1 375.2 8%Novorossiysk SMP 815.6 688.8 18%Kaliningrad SMP 517.1 536.9 -4%

Ukraine’s exporters Finished steel products


ArcelorMittal Kryviy Rih 3 618 3 730 -3%

Oktyabrsk SMP 1 521 845 80%Odessa SMP 1 238 1 249 -1%

Ukraine’s exporters Finished steel products


Ilyich 2 743 2 531.9 8%Mariupol SMP 871.5 532.5 64%Illyichevsk SMP 720.4 702.7 3%

Russia’s exporters Fertilizers

20062 252.7

2 215.1Port of Saint Petersburg 3 247.3 47%

Uralkali 3 250.4 44%Shipper Port 2007 Change y-o-y (07/06)

2006Silvinit -3%

34%-29%0%

Shipper Port 2007 Change y-o-y (07/06)

NiKaTera (Nikolaev) 815.7 1 144.4East Urals Terminal 405.2 404.8

2 199.3 2 275.3Ventspils Free Port 822.1 613.6

Ukraine’s exportersFertilizers


Azot (Cherkassy) 1 346.2 961.7 40%Yuzhny SMP 882.4 722.4 22%Transinvestservis 381.7 229.4 66%

Stirol 1 109.8 1 182.2 -6%Yuzhny SMP 838.3 746.6 12%NiKaTera 237.5 180.9 31%

Russia’s exporters Iron ore

Shipper Port 2007 2006Change y-o-y

(07/06)Mikhaylovsky GOK 3 342.4 2 385.3 40%

Yuzhny SMP 2 594.0 691 275%

Lebedinsky GOK 1 597.0 2 500.1 -36%

Yuzhny SMP 347.7 734.1 -53%

Odessa SMP 347.2 60 479%Riga Free Port 274.8 104.6 163%Nakhodka SMP 213.9 12.1 1674%

Ukraine’s exporters Iron ore

20063 989.22 234.71 474.0

0Transinvestservis 459.4 -Yuzhny SMP 785.3 -47%Izmail SMP 2 419.3 8%

Poltavsky GOK 3 708.2 -7%Shipper Port 2007 Change y-o-y (07/06)

Severny GOK 66.2%130.7%379.4%113.7%

-Yuzhny SMP 134.7 0

Nikolaev SMP 231 48.2Odessa SMP 151.1 70.7

1 038.6 625.1Illyichevsk SMP 325.2 141

Russia’s exporters Pig iron


Tulachermet 2 450.7 2 586.2 -5.2%Yuzhny SMP 1 273.4 1 672.3 -23.9%Kaliningrad SMP 314.9 292.7 7.6%Illyichevsk SMP 234.7 02.апр 9781%Port of Saint Petersburg 212.2 166.3 27.6%

Ukraine’s exporters Pig iron

Shipper Port 2007 2006Change y-o-y

(07/06)Donetskstal 508.9 306.7 66%

Odessa SMP 251.3 30.апр 727%Berdyansk SMP 148.7 46 223%Mariupol SMP 108.9 209 -48%

Makeevka 508.4 185.1 175%Illyichevsk SMP 353 7 4876%Mariupol SMP 90.1 65 39%

Russia’s largest grain exporters in 2006-2007

Company Volume, tonnesInternational Grain Company (Moscow) 2,281,726Yugtranzitservice (Taganrog) 1,158,777Rosinteragroservise 1,109,792Agromarket-Trade 889,483Cargill Yug 570,153Aston 568,149Yug Rusi 527,115Louis Dreyfus Vostok 408,102Lada-Gelendjik-Trans 345,697Bunge CIS 336,067Krasnodarzerno-Produkt-Expo 269,582

Ukraine`s largest grain exporters in 2006-2007

Company Volume, tonnesToepfer 1,390,151Nibulon Trading b.v. 1,313,925Glencore 1,312,643Cargill 965,565W.J. Grain 818,321Bunge 813,481Louis Dreyfus Negoce 782,318

Part 3Major destinations of Russian and

Ukrainian exports

Russian coal exports in 2007Destination country ‘000 tonnesUK 15153Turkey 11378Japan 10945Ukraine 10806S.Korea 7018Finland 5318Netherlands 4598Poland 3066Germany 2877Romania 2146Belgium 2045Slovakia 1991Spain 1611Taiwan 1163

Ukrainian coal exports in 2007

Destination country ‘000 tonnesBulgaria 1'200Turkey 570Moldova 230Spain 180Italy 180

Russian steel semis exports in 2007

Destination country ‘000 tonnesIran 2611Italy 2149Turkey 1677China 1449Denmark 977USA 952Taiwan 604

Russian finished product exports in 2007

Destination country ‘000 tonnesIran 1852Turkey 1837Italy 1362Ukraine 1215Kazakhstan 1161Germany 1124India 514

Ukrainian steel semis exports in 2007

Destination country ‘000 tonnesItaly 2358Turkey 1420Indonesia 968USA 914Egypt 762Syria 447

Ukrainian finished product exports in 2007

Destination country ‘000 tonnesRussia 2700Turkey 2420Syria 1140Jordan 564Algeria 545UAE 528Belarus 507India 500Iran 492

Russian fertilizers exports in 2007

Destination country ‘000 tonnesChina 5115Brazil 3745Turkey 1350India 866Mexico 700Peru 663Ukraine 580Pakistan 500Poland 500

Ukrainian fertilizers exports in 2007

Destination country ‘000 tonnesTurkey 1401Brazil 1027India 561Mexico 261Nigeria 200

Geography of Russian grain deliveries in 2006/07 MY

Destination country ‘000 tonnesIndia 2457Egypt 2422Bangladesh 1077Saudi Arabia 876Italy 538Turkey 474

Geography of Ukrainian grain deliveries in 2006/07 MY

Destination country ‘000 tonnesSaudi Arabia 3458Turkey 846Egypt 753Israel 643Spain 547Tunisie 458

Iron ore

Ukraine and Russia – 11mt of iron ore to China

Pig iron

Russian - 2mt of pig iron to the USA

Part 4Freight markets of the CIS and

Baltic countries

Azov-Black Sea Basin

Freight rates for 70,000-tonne shipment of iron ore concentrate from Yuzhny port to northern Chinese ports, $/t

20

30

40

50

60

70

80

90

jan feb mar apr may jun jul aug sep oct nov dec

2006

2007

2008

Traffic handling cost of 70,000-tonne shipment of iron ore concentrate from Yuzhny Port to northern Chinese ports, $/t

11

12

13

14

15


2008

Freight rates for 3,000-tonne shipment of steel scrap from Rostov-on-Don to Marmora Sea ports, $/t.

20

25

30

35

40

45

50

55


2006 2007 2008

Traffic handling cost of 3,000-tonne shipment of steel scrap from Rostov-on-Don to Marmora Sea ports, $/t

17

18

19

20


2008

Freight rates for 3,000-tonne shipment of grain from Azov to Alexandria, $/t

20

30

40

50

60

70

80

90


2006 2007 2008

Traffic handling costs of 3,000-tonne shipment of grain (Azov- Alexandria), $/t

15

15,5

16

16,5

17

17,5

18

18,5


2008

Baltic and Northern Sea basin

Freight rates for 70,000-tonne shipment of coal from Murmansk to Liverpool, $/t

15

20

25

30

35

40


2008

Freight rates for 3,000-tonne shipment of steel products on route Saint Petersburg – eastern British ports, €/t

17

19

21

23

25

27

29

31

33

35


2006 2007 2008

Handling cost of 3,000-tonne steel product shipment (Saint Petersburg – eastern British ports), €/t

13

14

15

16

17


2008

Freight rates for 3,000-tonne steel scrap shipment (Saint Petersburg – northern Spanish ports), €/t

25

30

35

40

45

50


2006 2007 2008

Handling cost for 3,000-tonne shipment of steel scrap shipment (Saint Petersburg – northern Spanish ports), €/t

16

17

18

19

20

21


2008

The Caspian Sea

Freight rates for 3,000-tonne shipment of steel products from Astrakhan to Anzali, $/t

10

15

20

25

30

35

40

45

50

55

60


2006 2007 2008

Traffic handling cost of 3,000-tonne shipment of steel products from Astrakhan to Anzali, $/t

13

13,5

14

14,5

15


2008

Far Eastern basin

Freight rates for 70,000-tonne shipment of coal from Vostochny to Japan, $/t

10

12

14

16

18

20

22


2008

Freight rates for 3,000m3 shipment of plank timber from Nakhodka to the western ports of Japan, $/m3

10

12

14

16

18

20

22


2006 2007 2008

Traffic handling costs of 3,000m3 shipment of plank timber from Nakhodka to the western ports of Japan, $/m3

7

8

9

10


2008

Conclusion

- Raw materials (scrap, pig iron, DRI / HBI, iron ore, coal, coke, ferro-alloys)- Steel Semis (slab, billet, pipe billet)- Finished steel products (flats, longs, pipes)- Freight

- Turkey- CIS (Russia, Ukraine, Kazakhstan)- Europe: South Europe (Italy, Spain), Central Europe (Poland, Romania, Czech, Slovakia), Balkans (Bulgaria, Serbia, Albania, Bosnia)- Middle East (Iran, UAE, Syria, Saudi Arabia, Jordan) & North Africa (Egypt, Algeria)- India- US- China- Southeast Asia (Taiwan, Thailand, Vietnam, Philippines, Singapore)

Products

Regions

Market & industry news, analysis, statistics, price database

maritime transportation from cis countries vitaliy smilyk head of maritime research department,...

Documents