Press Release –A surprisingly hushed start to ship recycling in 2024
published on February 12th, 2024
In its latest weekly ship-recycling report, GMS observes that despite the Pakistani and Bangladeshi markets stabilizing and showing increased aggression at the bidding tables over the past five weeks, alongside the onset of the Chinese New Year holidays worldwide, the start of 2024 has been quieter for ship recycling than expected.
Following the conclusion of elections in Bangladesh, Pakistan faced its turn this week, marked by widespread violence, riots, bomb blasts, and reports of several fatalities, leading to the suspension of mobile phone and data services across the nation.
Nevertheless, Nawaz Sharif has been elected Pakistan’s Prime Minister for the fourth time, amid ongoing violence triggered by former Prime Minister Imran Khan's imprisonment for corruption and numerous other charges. With the election results announced, attention turns to India, where elections are expected in March, marking a significant quarter of potential change in the Indian sub-continent ship recycling markets.
On the global stage, despite Western Forces' efforts to combat attacks by the Houthis on merchant vessels in regional shipping lanes, trading markets have remained unusually robust. This has delayed the typical post-New Year aggression from the sub-continent ship recycling markets. While Bangladeshi and Pakistani markets have maintained recycling prices, the availability of workable candidates has dwindled, postponing the anticipated first quarter surge in recycling activities. India has been the most active in 2024 so far, driven by contracts for MSC containers to select HKC yards. However, volatile local steel plate prices and the Indian Rupee have left Alang Buyers with cautious sentiments and the lowest levels on offer in the sub-continent. Turkey remains quiet in the West, mirroring India's subdued performance while actively seeking tonnage.
CONTACT THE TEAM
Mr. Deepak Reddy, MD Neptunus Ship Builders & Recyclers Pvt Ltd.
337, Road No.5, Banjara Hills, Hyderabad, Telangana, India - 500034
+91 9848434567
deepak@neptunus.in