Thai dry bulk carrier Precious Shipping PCL said on Wednesday it expected freight rates to stay high this year and the next due to rising global trade.
Precious, which mainly ships Thai agricultural produce, building materials and wood products, expects freight rates to be around $12,500 a day per vessel in 2004 against $7,800 last year, Managing Director Khalid Hashim said.
The rate was $12,526 in the first quarter, he told reporters.
China's moves to cool its economy, soaring oil prices and higher interest costs would have only a marginal impact on Precious because it had tied up future contracts for most of its ships through this year.
It had also concluded longer-term contracts of more than a year for 38 percent of its vessels at the higher rates, he said.
Analysts polled by Reuters Research have forecast a net profit of 3.4 billion baht ($83.29 million) this year, up from 1.54 billion baht last year.
Precious, which is expanding its fleet to cope with robust demand, will take delivery of two new vessels during June-July to take its fleet to 50, he said.
Last week, it had taken delivery of 15 vessels from Malaysia International Shipping Corp, which took it past its main local rival Thoresen Thai Agencies with 43 vessels.
Comments
Comments are closed.