Freight rates for LPG carriers bounce as market hopes rebound
According to Poten, increased demand from Far Eastern buyers along with healthy demand from India provided support to the benchmark index throughout March firming sentiment significantly
Demand growth is expected to be strong in Asia driven by both the petrochemical and retail sector and also in Northwest Europe, Poten & Partners’ LPG consultant Shantanu Bhushan said. Recovery in the oil market would mean LPG becoming more competitive relative to naphtha as a feedstock which would mean better arbitrage economics between the US and Northwest European and Mediterranean regions.