India's ship breaking scrap trades slow down amid uncertainty on loading charges

Alang - one of the largest ship breaking recycling yards situated in west coast Gujarat, India, has about 150-200 plots. Recycled scrap from this yard is supplied to a number of ingot and billet manufacturers specifically in Bhavnagar and surrounding trajectory.

Ship scrap prices in Alang, Gujarat were being charged with INR 100/t as loading charges by ship breakers, since past 3 months owing to improving liquidity crises for migrant workers where they can be sheltered. This was done to assure smooth supply of raw material amid pandemic situations, when liquidity issue was the major concern.

With things getting normalized, buyers are now looking to procure raw material without loading charges which has affected today's transaction prices as offers and bids vary from sellers and buyers-end. It may take a day or two to notify normal transactions.

However, a couple of transactions have been confirmed from reliable sources and HMS 80:20 reported at INR 24,200-24,300/t and attachment at INR 25,200-25,300/t exw Alang and excluding GST.

-- As per SteelMint's assessment, scrap prices in Alang observed marginal downfall by INR 300/t against the previous day. For ship breaking HMS (80:20) stands at INR 24,400/t & attachment at INR 25,400/t exw and excluding GST.