20 August 2013

GMS weekly report on Indian ship breaking industry for WEEK 33 of 2013:

Another drastic week of decline and fall in the Indian market saw many end buyers fearing for their very livelihoods. One end buyer has already filed for bankruptcy and gone out of business, after this most recent Indian recession and many others are desperately hoping they do not go the same way, in what has only become a damage limitation exercise.

The Indian Rupee made matters worse, briefly touching 62 to the Dollar, in another disastrous week for the currency and most end buyers have simply decided not to offer at all whilst such extreme volatility reigns in the market.

Local steel plate prices too have been equally unpredictable and there seems little incentive for buyers to improve their numbers at present, let alone offer at all whilst such chaos reigns.

As a result, there were no new sales to speak of, as most ship-owners looked on unimpressed at the dismal offers on the table. For those cash buyers still with inventory to offload, it was another desperate week trying to raise and maintain buyers.

It may be suggested that the only way can be up from here, but we have thought that before only for the market to fall yet further and disappoint even the most hardened pessimists.

Source: Steel Guru. 20 August 2013
http://www.steelguru.com/indian_news/GMS_weekly_report_on_Indian_ship_breaking_industry_for_WEEK_33/322974.html

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