South Asia: Ship-breaking prices stable w-o-w, no fresh deals reported

Ship recycling prices in India, Bangladesh and Pakistan remained firm. Meanwhile, with fewer vessels moved into the recycling markets, there were no sales in India, Bangladesh and Pakistan. And only time will tell whether prices will continue to ease or not.

However, steel plate prices are more likely to be stable towards the fourth quarter of CY'21.

India

Despite last week's decline of about $11/light displacement tonnage (LDT), local buyers once again offered competitively against their Pakistani counterparts. Overall, India remains relatively firm and owners of aging vessels, who are considering green recycling for their unit, should take the opportunity and still grab at or even above $600/LDT levels before this market starts to turn again.

• A tanker, Seal, of 2,591 LDT, was beached at the port.
  
  
• A chemical tanker, Stolt Selje (11,219 LDT), was beached too.
  
  
• A chemical tanker, Shine (2,556 LDT) and another tanker, Jade (13,148 LDT), arrived at the port.
  
  
• Total tonnage at Alang Port last week amounted to 67,504 LDT, up by 72% w-o-w.
  
  

Bangladesh

Chattogram buyers have been taking a break this week, having enjoyed a great surge in levels well into $600/LDT last month. According to sources, the deal flow has been reported to be slower, fewer owners have been willing to sell, especially since freight rates in the dry and container sectors have been surging of late.

As a result, there were no market sales from Bangladesh to report of this week.

• A general cargo, Unicom 8 of 1,380 LDT, and a tanker, Ocean Porpoise, of 3,498 LDT, arrived at Chattogram Port.
  
  
• A tanker, Bay, of 16,701 LDT, was beached at this port.
  
  
• Total tonnage reported last week at Chattogram Port was 92,800 LDT, down by 13% w-o-w.
  
  

Pakistan

Vessel prices finally levelled off in Pakistan last week, as local buyers came back to the bidding tables amidst a weakened supply of tonnage. According to sources, another incident on a Floating Production Storage and Offloading (FPSO) issue was investigated by local authorities this past month for improper cleaning by the concerned cash buyer. It is worth reminding that all tankers/wet units arriving at Gadani should be fully gas-free for man entry and hot works clean, with all cargo residues, slops fully removed from the vessel.

• A tanker, Piramerd, measuring 9,375 LDT, arrived.
  
  
• Total tonnage at Gadani Port last week was reported at 19,347 LDT, up by 5% w-o-w.
  
  

Prices as on 30th Aug'21

Prices in $/LDT
Source- SteelMint Research