Since 2014 bunker prices has decreased about 50 %. The price reduction is a major aid in term of cutting vessel operating costs, which can easily encourage ship owner to increase the speed and burn more fuel compared to a few years ago when slow steaming was all the rage.

Environmentally burning more fuel can never accomplish a winning situation, however the ramification are broader. Combined with the fact the charter rates are rising, we are already seeing signs that the market for supertankers on empty voyages are speeding up from 10 to 13 knots. It is particular in routes between the Middle East and Asia. 

Such an increase can on the above mention route decrease sailing time by 3 days amounting to an increase in approximately $15.000 (for a large crude carrier).  

While the problem may be less substantial in the tanker market, in the dry bulk market such actions as the potential to provide the industry with a proper shake. The dry bulk market is already struggling from post-crisis-tremors. Mats Berglund, chief executive at dry bulk Pacific Basin Shipping explains why: "Low bunker fuel prices are a negative factor as they lower the freight rate level at which ships will speed up and thus increase shipping supply." In an already strained market with overcapacity, this could lead to severe hit. A continued low marine fuel price could however reach a tipping point, at which decision makers in the shipping industry must decide whether to slow steam or not. The effects of such a decision may have severe consequences.

While the market is dependent on the fuel price, so would an improvement of the Chinese economy and imports/exports have the potential to make the future of the dry bulk marked some what lighter.   

Read the full story at shipandbunker.