South Asian imported ship-breaking markets remain sluggish; Indian market concludes deals

South Asian imported ship-breaking market faced delicate balance due to Diwali holidays. India reports impressive sales despite muted sentiments, while Bangladesh experienced disruptions due to upcoming elections and currency issues, further complicating trade. Pakistan saw renewed buying interest amid currency depreciation, while Turkish market improved as global steel prices rose.

INDIA

Indian market remained positive for the week in terms of transactional activities and concluded deals. Despite a recent price correction of $20-25/LDT, South Asia's ship-breaking market experienced ongoing steel volatility, with a slight increase.

According to a recent GMS Report, notable deals including GearBulk's General Cargo vessel BONTRUP MALDIVES at $545/LDT, MSC's container vessel MSC CHIARA at $535/LDT, and the Chinese-owned Handymax Bulker WUYANG GODDESS at $480/LDT. Indian market is the most reliable market at the moment. Trade sources anticipate, the prices might go up post Diwali.

The total tonnage received at Alang Port last week was 24,449 LDT.

BANGLADESH

Bangladesh faced uncertainties with upcoming elections in January, marked by political strikes turning violent. Despite a marginal firming of the Taka, it hovers above BDT 110 against the U.S. Dollar, while local steel plate prices plateau. Amid challenges in securing deals and LCs in Bangladesh, transactions are redirecting to the comparatively stable Indian market. Chattogram market's final months of the year remain uncertain as the ability to execute deals becomes a critical concern in terms of trade and prices seem to drop further as per sources.

The total tonnage received at Chattogram Port last week was 19,577 LDT.

PAKISTAN

Despite persistent currency and steel plate price volatility, Gadani's ship-breaking market surprisingly found a sense of stability this week. Local buyers, accustomed to flaky fundamentals, focus on concluding units amid prolonged market sidelines. The stagnant plate prices and a lack of incoming vessels may empower end buyers to secure workable deals. Hopes for increased LC approvals fuel expectations, but declining steel prices and ongoing currency devaluation cast uncertainty over Gadani's long-term prospects.

The total tonnage received at Gadani Port last week was 16,810 LDT.