Subcontinental shipbreaking market remains bullish amid a stable supply of tonnage with VLOCs and capesizes at offer. Scrapped vessel prices rose to $400-390/ldt for dry bulk in Bangladesh and Pakistan.
Indian ship recyclers raised their scrap offers to match the levels of counterparts in Bangladesh and Pakistan. In addition to this, supply disruption amid farmer’s protest led to price increases. Amid a shortage of containers, Indian importers’ freight costs and charges have tripled. The prices for steel plates have improved by $20/mt, while the Indian rupee appreciated to Rs73.53 against the US dollar.
Shipbreaking prices have maintained their uptrend and the competition among subcontinental buyers is likely to continue. Pakistan is slowly losing the top buyer spot to Bangladesh. Moreover, the booking rates have increased amid rising raw material prices.
Scrap prices continue to rise by $25-30/ldt compared to the prior week, while the local market witnessed some dull moments as steel plates prices dropped, which reduced buying.
A deal for VLOC ‘Berge Lhotse’ with tonnage 38,832/ldt was concluded at $420/lt ldt on ‘as is’ basis. A total of 28 units have headed to Bangladesh this year making it a top destination for scrapped vessels.
Imported scrap prices rose $30-25/mt higher than the last week reaching $400/mt, highest in the last 7-8 years. Steel plate prices have improved by $15/mt.
The Turkish Lira has depreciated to TRY7.9 against the US dollar. COVID-19 cases are still on a rise in Turkey. The government has imposed lockdowns on weekdays between 21:00- 05:00 and a complete closure on weekends.