An oversupply of VLCCs waiting for cargoes out of the Middle East has driven down rates in January, said analysts.
Rates are down 64% compared with last month on the Middle East Gulf to East routes. Lower volumes are leaving VLCCs under-employed, said Fearnley Securities.
It said there were 15-20 remaining cargoes left in the region after 120 were fixed in January but “roughly twice as many ships are waiting to provide transport,” it said.
