Demolition (Wet: Firmer+ / Dry: Firmer+)
With the monsoon season and Ramadan holidays coming to a close the market has shown a substantial confidence in the future prospects with a lot of speculative business helping to keep prices firm. This has been despite the fact that steel plate prices in the Indian sub-continent have witnessed a slight softening. The general optimism seen by many breakers during the summer period seems to have carried through as such we should see levels firm further if demand for steel remains strong. Having said that the current unstable condition in the commodity markets has left many wondering for how long this firming in prices could hold. Demo prices are now holding fairly stable with wet tonnages seeing levels of around 465 - 530$/ldt, while dry tonnages are going for about 450 - 515$/ldt.
Most notable this week was the price paid by Indian breakers for the small chemical tanker ‘Caribic’ (17,079 dwt – 6,201 ldt-blt 88) which went for a very firm price of $595/Ldt including some stainless steel content.
Source: Hellenic Shipping News (Sourced from Intermodal Shipbrokers Co.) 30 August 2011