07 October 2014

GMS weekly report on Bangladesh ship breaking industry for WEEK 40 of 2014:

Bangladesh is a market worth keeping an eye on post Eid holidays. Having endured a quiet and underwhelming last few quarters of the year (largely due to a dwindling capacity after the Q1 binge on units and the onset of an incessant monsoon season), those buyers with free space are expected (hoped) to get back to the buying before the year end.

Certainly, in the past few weeks, there have been signs of a return to form. Several of the hot buyers have been booked with cash buyer tonnage and one or two vessels have even been diverted from Indian and Pakistani shores in order to satisfy local demand.

Prices do however, remain fairly uneven and sporadic across the board. It is a question of identifying the right buyer and working to conclusion with him on a preferred unit.

An older handy bulker called XING HUA (6,622 LDT) from Chinese owners was concluded this week for USD 405 per LT LDT ‘as is’ Keelung, Taiwan in a move that looks destined for Bangladeshi shores even though the age and likely poor condition are sure to raise a few eyebrows amongst local buyers.

Source: steel guru. 07 Oct 2014

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