With time now running out to acquire units before the October 12th deadline (and with no extension yet in place), a lull of sorts descended over the local industry with sentiment and price lower than that of their Indian counterparts, and a few units yet left to negotiate.
Deliveries and beachings over the upcoming tide were still scheduled to take place, although the severe credit restrictions put in place by local banks have left many arriving units facing delays. Unfortunately, such has been the reality of late, for deals that have been concluded at considerably higher prices.
While many in the industry do expect the local market to receive another extension to import ships post on October 12th 2011, local buyers remain aware of the potential delays they may face. As such, recyclers are gearing up to make the most of those ships already beached as the uncertainty over how long their market may be out of action for, is set to resume all over again.
Source: Steel Guru (Sourced from GMS Weekly). 27 September 2011