The South Asian Ship recycling market remains upbeat in terms of pricing, the markets saw an uptick of $30/LT after remaining stable for around 6 weeks, however few deals were concluded in the Bangladesh market.
Bangladesh
Bangladesh remains buoyant in the sub-continent recycling market with several eye-catching sales being registered this week, at levels at or above the magic $500/LT mark. As per the sources, steel prices and demand remain excellently positioned and it will be interesting to see if this momentum maintains into the summer and monsoon months.
- The Taiwan controlled Aframax tanker FREEMONT (16,237 LDT) fetched at $535/LT.
- The ex Bahri FSU EM VITALITY (48,100 LDT) was concluded at $500/LT, basis an ‘as is’ Singapore delivery.
- One Bulk Carrier- Shanghai (21,807 LDT) arrived at the port.
- Two Offshore Tug / Supply Vessel – Sea Meadow 05 (2,160 LDT) & Sea Meadow 06 (1,773 LDT) beached at the port.
- The total tonnage reported last week in the Chattogram port was 150,585 LDT, registering a surge by 125% w-o-w.
India
This second deadly wave of Covid-19 continues to wreak havoc across India. As per the sources, with recycling yards shut and diversion of all oxygen supplies to local hospitals, it is unsurprising that little focus has been given to the ship recycling markets in Alang, despite firm pricing (particularly on steel prices) and excellent demand. India is not too far behind on any available specialist or green units, despite various crew nationalities (including Chinese) not allowed to disembark at present and many owners choosing to avoid an India delivery for the time being. Along with this, no major deals of scrapped ships from Alang port have been reported this week.
- One Drill Rig – Scarabeo 7 (20,312 LDT) & a tanker namely Gulf Glow III (2,889 LDT) arrived at the port.
- A OSV – Pelafigue arrived at the port (1,991 LDT).
- The total tonnage at the Alang port last week was 63,091 LDT, up by 30% w-o-w.
Pakistan
Pakistan continues to struggle in the sub-continent recycling market. Buyers remain hot on the heels of their Bangladeshi counterparts, with some growing demand and excellent numbers seen on available tonnage above USD 500/LDT. As per the sources, larger LDT choice vessels continue to head toward Bangladesh who are better priced at the moment and many of the vessels are also coming from the Far East, so are much better positioned to end up in Chattogram.
- A FSO – Radiant beached at the port (12,157 LDT).
- Two tankers – Elka Sirius (12,000 LDT), Hai Soon 28 (2,000 LDT) & Mass I (9,302 LDT) arrived at the port.
- Total tonnage reported at the Gadani port last week was 37,659 LDT, down by 57% w-o-w.
Prices as on 3rd May’21
Prices in $/LT
Source- SteelMint Research
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