Maritime Strategies International (MSI) has forecast tankers rates will come down sharply sometime in the second half of this year when oil firms begin to draw down their stocks.

While floating storage demand has boosted crude and product tanker earnings in recent weeks, the consultancy expects recovery in oil consumption and reduction in crude production to trigger a destocking cycle eventually.

“[When] we start to see demand recover recovery…we will see inventories drawdowns, which will suppress the requirements of [oil] imports,” MSI’s oil and tanker director Tim Smith said in a webinar on Thursday.