South Asia: Imported scrapped ship offers rally by up to $40/LT

Ship breaking prices in Asian markets saw an uptick of $25-40/LT on decent demand across all locations. The prices for Bangladesh have increased sharply by $40/t, while the same in India & Pakistan marked a hike of $30/LT & $25/LT, w-o-w, as per SteelMint’s weekly assessment.

India

India still remained as the top recycling destination to secure any HKC green tonnage. However no major deals were concluded in the last week.

• The Indian Rupee remained firm considerably, trading around INR 73.4 as against the U.S. Dollar.
• The total tonnage at the Alang port last week was at 97,154 LDT.
• One ore carrier – Wugang Atlantic (41,554 LDT) & a bulk carrier namely- Great Sunrise (20,719 LDT) arrived at the port.

Bangladesh

Bangladesh ship breaking prices were up by $40/LT on a w-o-w basis. Demand of scrapped ships increased among the cash buyers & several big tonnages of various sizes and types were booked at higher prices.

• The Capesize bulker AN LI (24,212 LDT) was finalized at $415/LT basis an ‘as is’ Singapore delivery, with about 500 t of bunkers remaining onboard.
• The Panamax bulker WUYI HK (11,114 LDT) deal was concluded at $478/LT.
• A VLOC, Sinokor of South Korea sold their SINOTRADER (38,705 LDT) at $440/LT.
• A tanker KNIGHT (6,070 LDT) was concluded at $395/LT basis an ‘as is’ Singapore
• A small tanker namely COUNT (3,306 LDT) was heard to be concluded at $395/LT basis an ‘as is’ Singapore .
• The total tonnage reported last week in the Chattogram port was at 162,533 LDT.
• A PCTC namely Zui (7,631 LDT) & an ore carrier- Argo 1 (38,832 LDT) arrived at the port in the last week.

Pakistan

After impressive sales in the last few weeks, sentiments at Gadani recycling yards have finally started to cool off. However, local steel prices remained strong as currency finally strengthened after remaining unstable for the last few years that resulted in many end-buyers going out of business and closing their plots.

• Total tonnage reported at the Gadani port last week was 41,003 LDT.
• A tanker namely Sidra 1(1,200 LDT) was beached at the port on 7th Jan’21 & another tanker – Euro Destiny (39,803 LDT) arrived at the port.

Prices as on 9th Jan’21

Prices in $/LT
Source- SteelMint Research