South Asia: Imported scrapped ships’ offers rally by up to $40 w-o-w

Ship breaking prices in Asian markets saw an uptick of $10-40/LT. The prices for India increased sharply by $40/t, while the same for Bangladesh & Pakistan marked a hike of $10/LT & $25/LT, w-o-w, as per SteelMint’s weekly assessment.

India

India continued to remain on the top this week with several larger LDT dry units being concluded to local buyers for HKC green recycling, at some seriously remarkable numbers.

India is still the best placed recycling destination to secure any HKC green tonnage & in terms of pricing. Alang remained the most-active market last week compared to Chattogram & Gadani. Our assessment showed an improvement in imported ship breaking offers in India.

• The Indian Rupee remained firm considerably, trading around INR 73.9 as against the U.S. Dollar.
• The total tonnage reported at the Alang port last week was at 118,993 LDT.
• Two FPSO (Under Tow) beached at the port, namely Eldorado (46,412 LDT) & FSO Angsi (14,843 LDT).

Bangladesh

Bangladesh ship breaking prices were up by $10/LT on a w-o-w basis. Demand of scrapped ships remained firm among the cash buyers. A healthy portion of the recently improved steel gains have been wiped off and Bangladeshi buyers have now become far more tentative with their offers. The Chattogram market remained exuberant and witnessed above-market offerings since the cartel broke up.

• The LPG vessel namely JISAN GAS (2,078 LDT) was concluded at $428/LT.
• The total tonnage reported last week in the Chattogram port was 155,142 LDT.
• A bulk carrier namely Lila Porto (21,062 LDT) & two ore carriers- Stellar Ocean (43,393 LDT) & Stellar Liberty (47,303 LDT) was beached at the port.

Pakistan

Pakistan ship breaking market left empty handed this week too with no units being secured. The Capesize Bulker charter rates continued to disappoint and several more VLOCs potentially left for sale at Gadani. The scrapped ship prices increased by $25/LT.

• Total tonnage reported at the Gadani port last week was 86,133 LDT.
• Four bulk carriers were beached at the port namely ABK Trader (6,011 LDT), Arybbas (7,770 LDT), Ptolemeos (7,500 LDT)) & Silver Shark (5,636 LDT).

Prices in $/LT
Source- SteelMint Research