In spite of the dry bulk shipping importance, research papers
on dry bulk market rates are scarce.
As the freight charge of dry bulk cargo holds a major share
of supply chain cost, it is important for supply chain
participants to understand the determining factors of the bulk
freight market. Shen and Lo (2012) investigate the short-term
and long-term causality relationship between the Baltic Dry
Index and the gross domestic product of the BRIC (Brazil,
Russia, India and China) countries by applying the equilibrium
analysis and Granger’s causality test. Their research confirms
the existence of short-term and long-term equilibrium
relationships between BDI and GDP in the case of China.
Also, no significant causalities were found between the BDI
and the GDP of Brazil, Russia and India