Imported Ship Breaking Offers Stable with No Fresh Deals
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Ship breaking activities remained dull over increased supply and weak demand amid COVID-19 fear, SteelMint's weekly assessment showed.
India
Amid the deteriorating situation all across the globe due to COVID-19, Indian market as well is no exception. The country's local steel prices reportedly dropped by around USD 20-25/MT. Along with this, no major deals of scrapped ships from Alang port have been reported this week. Indian currency also declined sharply to INR 74.21 against US dollar over unprecedented market trends.
-- Meanwhile, the prices of ship breaking stood at USD 390/LT for Containers, USD 360/LT for Dry bulk and USD 370/LT for Tanker.
-- The total tonnage reported last week in the Alang port was at 37,932 LDT, up by 8.23% W-o-W.
-- Gujarat Maritime Board has issued a notice that all ships coming to Bhavnagar/Alang must obtain PHO clearance in advance & submit a copy of the same to the office, without this no vessel will be allowed to enter the port area.
At present, the end users are in 'wait & watch' mode as Indian government has imposed restrictions on travel, meetings & conferences. Also, borders are closed and entry of passengers from Covid-19 affected countries is prohibited.
Bangladesh
The country has filled large LDT Capes and VLOCs and local buyers are further looking for small LDT units. Also, end users are looking for an opportunity to secure market tonnage at much lower rates.
-- The prices were more or less firm and stood at around USD 350/LT for Tankers, USD 370/LT for Containers & USD 340/LT for Dry Bulk.
-- The total tonnage reported last week in the Chittagong port was at 123,679 LDT, down by 48.27% W-o-W.
Pakistan
The nation emerged with little buying interest as few deals from Gadani port were reported this week, but the market sentiments continued to remain bearish as Pakistani Rupee depreciated on deteriorating situation in the international market due to coronavirus.
-- The prices of containers surged by USD 10/LT LDT to USD 380/LT, USD 350/LT for Dry Bulk & USD 360/LT for Tankers.
-- The total tonnage reported last week in the Gadani port was at 2,484 LDT, remain stable on weekly basis.
