Ship breaking prices in Asian markets saw an uptick of $10-20/LT on decent demand across major locations. Prices for Bangladesh have increased by $20/t, while the same in India marked a rise of $10/LT w-o-w. However, Pakistan market remains firm, as per SteelMint’s weekly assessment.
Bangladesh
In Bangladesh, some impressive purchases of vessels have been reported in cash deals. A large number of VLOCs & Aframax tankers have been beached recently. The demand of scrapped ships has almost been optimized for the time-being among cash buyers despite losing several offers to Pakistan of late.
- An OBO arrived on 12th Mar in the port namely Sinomerchant (37,478 LDT).
- Four tankers – Acs 85 (2,412 LDT), Cont (3,307 LDT), Hari Sagar (2,567 LDT) & Sun 1 (19,864 LDT) has arrived at the port
- The total tonnage reported last week in the Chattogram port was 68,522 LDT.
India
Alang market is still the best recycling destination as fundamentals are expected to remain steady. Indian Rupee continues to trade firmly at INR 72.5 against the U.S. Dollar. Sources reported lack of supply of scrapped ships in Alang due to few HKC sales at the start of this year. Local steel prices continue to fluctuate in the range of $5-10/LT per day. Scrapped ships offers rose by $10/LT on a weekly basis.
- One General Cargo – Baby Leen (2,557 LDT) & a LPG namely- Celia (3,578 LDT) beached at the port.
- An Oil tanker – Sea Princess beached at the port (3,027 LDT).
- The total tonnage at the Alang port last week was 10,995 LDT.
Pakistan
Gadani market has started to cool off again after several purchases of Panamax bulker & the VLOC. However, no major deals were concluded last week.
- Total tonnage reported at the Gadani port last week was 6,500 LDT.
- A tanker named Sala 1 (7,730 LDT) was beached at the port on 11th Mar ’21.
Prices in $/LT
Source- SteelMint Research
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