24 November 2011

GMS weekly report on BANGLADESH shipbreaking industry for WEEK 46 of 2011:

Ø    No positives
Ø    Bangladesh stimulus needed

Out Till New Year!

With still no positive news to report regarding the court hearing in Bangladesh (the date was once more put back in familiar posturing by the relevant authorities), the industry faced yet another week with the big hitters out of action.

There is some talk that we may not see a market extension granted until perhaps even the New Year and into Jan 2012, with the judge seemingly intent to keep the doors of the industry firmly shut until firmer standards are implemented and conditions categorically improved.

Of course, such an action will only push levels from the competing neighbors even lower as one of the major competitors (i.e. Bangladesh) for larger tonnage remains absent from ongoing negotiations.

At this stage, a Bangladesh return to the action may be just the stimulus the global recycling markets need to stabilize (in terms of prices as well as overall demand).

NO Market Sales Reported

Source: Hellenic Shipping News (Sourced from GMS Weekly). 22 November 2011

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