11 May 2014

GMS weekly report on Turkey ship breaking industry for WEEK 18 of 2014:

Competition between the end-buyers in Aliaga remains fierce, as the limited supply of tonnage prevails and local market fundamentals remain positive. As the dearth driven aggression to acquire continues, it is very likely that offers on proposed units could easily exceed expectations.

However, with sub continent prices easily exceeding over USD 120 per tonne as compared to those form local yards, it seems unlikely that larger (5,000 to 6,000 and heavier) tonnage will head for the shores of Aliaga.

Meanwhile, local steel plate prices have improved by about USD 5 per tonne and the currency closed the week marginally stronger at TRL 2.10 against the US Dollar, compared to 2.13 where it opened last Monday. Demand for steel from local steel mills is expected to strengthen further as summer months are usually the period when construction projects pick up the pace.

Source: steel guru. 6 May 2014

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