Indian Ship Breaking Demolition Falls by 36% in Mar’16

The number of ships arriving for demolition in Alang (Gujarat) fell by 36% to 32 ships in Mar’16 in regards to 50 ships in Feb’16.

Surge in imported scrap offers, fiscal year closing and high inventory of ship breaking in Feb’16 have led to fall in number of ships in March coming for demolition in Alang. In Mar’16, total 32 ships have arrived to Alang, which was 50 ships in the month of Feb’16.

There are still 5 ships in this month waiting for breaching and 2 vessels are expected to arrive. In a monthly average, 20-25 ships comes to Alang for demolition.

Imported scrap offers in the month of March have surged by USD 30-35/MT (Shredded by upto USD 35/MT; HMS by upto USD 30/MT). Besides, billet prices have also risen by INR 850/MT in Mumbai.

Domestic ship breaking prices in Bhavnagar are currently hovering in the range of INR 17,100-20,300/MT, registering a price rise of INR 500-1,300/MT on monthly basis.