01 August 2012

GMS weekly report on Indian shipbreaking industry for WEEK 30 of 2012:

The Supreme Court ruled on Monday that ships not complying with the Basel convention would not be allowed to clear inwards for recycling in India. The converted tanker to capesize bulker, ORIENTAL N Ex ORIENTAL NICETY (ex EXXON VALDEZ) was finally given the green light for beaching though, bringing to an end a saga that has been brewing since May.

The fact that all ships must declare hazardous materials before arrival and convene to the Basel Convention anyway means that this latest ruling merely serves to reinforce regulations already on place.

Still, this is proof of an industry clearly on edge, and it will not be surprising to see a similar situation to events in Bangladesh over the course of last year with intermittent closure and new rules / regulations regarding inward clearance and required docs. Owners will have to be patient in this regard and be prepared for possible/potential delays on their incoming vessels.

Meanwhile, the market was for another week, suffering from scrap steel reversals and currency setbacks. The chemical tanker MT TRIUMPH (10,118 LDT) was sold for a strong price of USD 425/LT LDT 'as is' Colombo with 270 T of bunkers remaining on board at time of delivery.

Source: Steel Guru (sourced from GMS Weekly). 1 August 2012
http://www.steelguru.com/indian_news/GMS_weekly_report_on_Indian_ship_breaking_industry_for_WEEK_30_2012/276280.html

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