GMS weekly report on INDIA shipbreaking industry for WEEK 36 0f 2011:

• Prices in line with Bangladesh
• Sales gap
• Hope on horizon

Reserved but Readjusting:


With prices still just about in line with Bangladesh (if not a little below), suitably positioned vessels - or those fixed to WC India still found their way to Indian shores amidst some frantic activity from local buyers of late.

Rates have hardly recovered to their midsummer high, but the still remain decent enough for owners to consider selling - and particularly for the right units, enticing prices have been on show of late.

Nowhere was this more evident with the two market sales of the week, with the standard bulker HENG SHUN MEN (5,747 LDT) receiving a price of USD 517/LT LDT and the full spares tween UNION CARRIE (5,185 LDT) seeing a whopping USD 530/LT LDT. Both prices in fact seem to indicate speculative cash buyer moves since, at the time of writing there was a definite disconnect between cash buyer offers and local market prices.

Nevertheless, if Bangladesh moves positively ahead of its impending market closure, expect Indian prices to follow closely - especially given the end of the monsoon season and the relative lull that has been evident in market prices and deals over August.

Source: GMS Weekly. 12 September 2011

http://download.hellenicshippingnews.com/pdf/September%2009,%202011.pdf