Continuous fall in global offers of ships coming for demolition to India takes a break this week.
Ship breaking offers in Asia’s three most active ship breaking yards namely, India, Bangladesh and Pakistan, witnessed a price stability this week. Offers for ships remained unchanged in the range of USD 365-395/ LT LDT.
Stability in Indian currency this week, clubbed with slight improvement in domestic ship-plates and billets, W-o-W have given ship recyclers at Alang some confidence.
Buying in Bangladesh and Pakistan remained low. Upcoming monsoon and pre-budget rumors have confined the ship recyclers to limited ships. Budget in these two nations are to be announced early June.
Global Ship Offers for Demolition as on 28 May’15
| Delivery | Grade | Prices in USD/LT LDT | W-o-W Change |
| CNF Chittagong, Bangladesh | General Cargo | 365 | 0 |
| Tanker | 390 | 0 | |
| CNF Alang, India | General Cargo | 370 | 0 |
| Tanker | 395 | 0 | |
| CNF Gadani, Pakistan | General Cargo | 370 | 0 |
| Tanker | 395 | 0 |
Source: SteelMint Research
Ship Breaching at Alang
Ship breakers at Alang have breached 15 ships this May, recovering around 137,513 LDT. A bulk carrier and a general cargo is expected to arrive this week, which would yield around 29,620 LDT.
Meanwhile, six vessels (two general and four bulk cargoes) are waiting to breach and would yield around 46,269 LDT.
Prices at Alang
Ship plates market at Alang has slightly improved this week by around INR 100-200/MT W-o-W owing to some stability in billet prices in the country. Current offers for 6-8 mm are at INR 23,500MT, ex-yard. While, melting scrap is offered at INR 20,550/MT, ex-yard.
Domestic Prices of Ship-Cutting as on 28 May’15
| Particular/Delivery | Size/Grade | Prices in INR/MT |
D-o-D Change | W-o-W Change |
| Ex-Bhavnagar | 1 Inch | 24,800 | + 200 | + 100 |
| 1-2 Kg | 21,500 | + 100 | -300 | |
| 12-14mm | 24,300 | + 200 | + 100 | |
| 15-18mm | 24,550 | + 150 | + 50 | |
| 19-22mm | 24,700 | + 200 | + 100 | |
| 2-5 Kg | 23,900 | + 100 | 0 | |
| 5-10 Kg | 24,300 | + 200 | + 100 | |
| 6-8mm | 23,500 | + 200 | + 100 | |
| 9-11mm | 24,000 | + 150 | + 100 | |
| HMS(80:20) | 20,550 | + 50 | -300 |
* Day-on-Day
**Week-on-week
Source: SteelMint Research
INR as on 28 May’15 assessed at 63.8 against USD
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