Average tanker freight rates improved markedly last year for bigger vessels but ended on a weak note, London-based Drewry Consultants says.
Twelve-month rates for very large crude carriers (VLCCs) had increased from US$21,000 per barrel in the second quarter to about $30,000 by the end of the year, it said.
By contrast, spot rates for Panamax cargoes and most other products were little changed from 1995, it said.
Modern tonnage of all types was generally sought after in the time-charter market and rates had improved as a consequence, Drewry said.
Newbuilding values had remained sluggish despite firm commitments to yards stretching to early 1999.
Sale and purchase values for older vessels firmed, however.
Increased oil demand had failed to translate into a substantial increase in tanker demand as the emphasis remained on growth in exports from Latin America and the North Sea.
