GMS report on India shipbreaking industry for WEEK 50 of 2012:

Few signs of recovery existed this week in the Indian market as an end of year gloom descended on what has been an incredibly frustrating and volatile year in the Indian ship recycling industry.

There is little doubting the intensity of activity this year with volume records set to be broken, vet the currency and steel prices have proved to be such destabilizing factors over the course of the year that end buyers have become incredibly nervous arid indecisive when it comes to the actual buying.

Vessels continue to arrive and face difficulties either with description or on LDT proofs at time of delivery, especially those deals done at levels of USD 50 per LT LDT and higher last month. It is the role of the strong and reliable cash buyer now, more than ever, to see those high priced deals through and concluded without a hitch.

The two market sales for the week saw Odfjell sell another of their tankers for guaranteed green recycling the BOW LEOPARD (9,440 LDT) at USD 435 per LT LDT (including 70 T of solid stainless steel) and the good cargo carrying handy size bulker BELDE (7,500 LDT) sold for a very firm USD 410 per LT LDT. Both appear to be highly speculative deals on today's market.

Market sales reported -

VESSEL NAME	TYPE	LDT	REPORTED PRICE
BELDE	Bulker	7,500	USD 410/LT LDT
BOW LEOPARD	Tanker	9,440	USD 435/LT LDT (incl 70 T stainless steel

Source: Steel Guru. 18 December 2012

http://www.steelguru.com/indian_news/GMS_report_on_India_ship_breaking_industry_for_WEEK_50_2012/295494.html

GMS report on Bangladesh shipbreaking industry for WEEK 50 of 2012:

As select buyers emerged for specific tonnage largelv the cape size bulkers and suezmax tankers/VLCCs vessels with 20,000 LDT and over, a whole raft of candidates either discharging in the area or coming from the East were mostly ignored, even at much lower levels.

These included, for the most part, older handy size bulkers discharging clinker in Chittagong poor cargoes, ownership, age and condition meant that most end buyers were simply unwilling to put them on their plots with other, more attractive option available to them.

On that note, there were rumors that the bulker ATTRACTIVE (7,46S LDT) was sold for a decent USD 40S.50 per LT LDT only for that deal to fail after the relevant cash buyer was unable to find an end buyer to beach the vessel.

Now more than ever, it has become imperative to find end buyers to take vessels before committing to a purchase, given the constant supply of tonnage in the market. Even those vessels considered to be favored units may garner no interest which has led to great frustrations amongst all cash buyers in the sub continent.

Mixed in with LC delays and new personnel handling NOCs for vessels to proceed inwards to beach, it has become a very challenging time in Bangladesh. Owners should now be prepared for greater waiting time/patience off the back of this.

Market sales reported -

VESSEL NAME	TYPE	LDT	REPORTED PRICE
ATTRACTIVE	Bulker	7,468	USD 408.5/LT LDT

Source: Steel Guru. 18 December 2012

http://www.steelguru.com/indian_news/GMS_report_on_Bangladesh_ship_breaking_industry_for_WEEK_50_2012/295496.html

GMS report on Pakistan shipbreaking industry for WEEK 50 of 2012:

Pakistan established themselves this week as firmly ahead of their Indian competitors with a greater aggression to buy at better numbers.

Indeed, the Danish built, ABS class, full spares panamax bulker 05TSEE MERCHANT considered to be a prime Indian candidate was surprisingly concluded to Gadani buyers for a highly impressive USD 410 per LT LDT.

With a paucity of tankers currently on the market and a lack of overall demand for container vessels, reefers and other general cargo/MPP types, Pakistan buyers have to switch their focus back to bulkers. With a less volatile currency and steel market than India, firm Gadani buyers seem able to outbid their Indian counterparts on desired tonnage at present.

Market sales reported –

VESSEL NAME	TYPE	LDT	REPORTED PRICE
OSTSEE MERCHANT	Bulker	12,926	USD 410/LT LDT

Source: Steel Guru. 18 December 2012

http://www.steelguru.com/middle_east_news/GMS_report_on_Pakistan_ship_breaking_industry_for_WEEK_50_2012/295530.html

GMS report on shipbreaking industry for WEEK 50 of 2012:

The anticipated Christmas / New Year slowdown has shown few signs of beginning Just yet as all markets continue acquiring tonnage and previous deals / cash buyer 'as is' tonnage continues to arrive respective demo locations at pace.

Indeed even yards in Vietnam and the ever-busy Turkish market (which has supposedly secured more units, not LDT, than Bangladesh this year) took vessels for the week as owners aimed to cut their losses and put money in the bank to appease financiers and balance sheets before the end of the year.

Even an upswing in charter rates (amidst a dearth of tankers of late) has failed to slow die number of candidates especially with many vessels approaching surveys in die early part of the coming year. The current supply seems largely to be from the container sector (up to mid 90s built and sometimes even younger) and a whole rait of 80s built handysize (and occasionally older) bulkers.

India struggled on for another week really only taking green candidates and favored units with keen end buyers backing respective purchases. The Indian Rupee was still trading at excess 54 to the dollar and a recovery in steel prices has yet to be seen. Notwithstanding the recent volatility reigning in India, Cash buyer speculation still seems to be teetering into ongoing negotiations on the back expectations of a firming January.

Pakistan and Bangladesh were other die two Indian sub-continent markets of the moment with enquiries emerging for die larger vessels on offer, yet not necessarily the supply (certainly on the tanker side) yet forthcoming to satisfy that demand.

China remains open to buy all types of vessels from reefers, to passenger vessels to general cargos to capesize bulkers and tankers (gas free for man entry only). Levels come the end of the week were once again on die rise off the back of an improving stock market, and for diose vessels positioned in the area, the voyage over to Bangladesh no longer justifiable.

For week 50 of 2012, GMS demo rankings for the week are as below:

Country	Market Sentiment	GEN CARGO	TANKER Prices
Bangladesh	Cautious	USD 385/lt Idt	USD415/ltldt
Pakistan	Cautious	USD 380/lt Idt	USD 415.lt idt
India	Weak	USD 375/lt Idt	USD 410.lt idt
China	Bullish	USD 365/lt idt	USD 380/lt Idt

Source: steelguru. 18 December 2012

http://www.steelguru.com/international_news/GMS_report_on_ship_breaking_industry_for_WEEK_50_2012/295584.html

GMS report on shipbreaking industry for WEEK 49 of 2012:

With Christmas and an end to 2012 fast approaching, the overdrive of recent months appears to be dissipating somewhat as new deals slow, deliveries / beachings wind down and cash buyers, owners and end buyers alike continue to count their losses.

A record 55 vessels were beached in India last month with over 100 for both October and November combined, and a period of cool down is now perhaps needed as steel prices and the currency show few material signs of a prompt recovery.

With that in mind, prices remain firmly rooted below USD 400/LT LDT for standard dry vessels and slightly above for wet units. Pakistan was echoing the sentiment of their Indian neighbours with buyers only realty emerging at firm levels for select units while a whole swathe of average units continuing to seek market levels remaining unsold.

The same approach was true of Bangladesh for the right vessels (usually large LDT with decent specs and tankers strictly gas free for hot works), there were buyers emerging, but at far more underwhelming levels than had been anticipated for a market expected to return to form aggressively.

Indeed, even the recently recovered Chinese market settled back into their comfort zone this week, dropping back down to the mid-300s/LT LDT on both wet and dry candidates.

This all round apathy to acquire will perhaps characterize the end of the year with still plenty of vessels stocking local yards and a concerted period of digestion and stability in steel prices / currency needed in order for aggressive buying to resume.

Whether the New Year will bring with it a renewed energy and rejuvenated sentiment remains to be seen, but the markets at this stage could perhaps be forgiven for appearing a touch weary!

For week 49 of 2012, GMS demo rankings for the week are as below:

Country	Market Sentiment	GEN CARGO Prices	TANKER Prices
Bangladesh	Cautious	USD 390/lt ldt	USD 420/lt ldt
Pakistan	Cautious	USD 3S5/lt ldt	USD415/ltldt
India	Weak	USD 3S0/lt ldt	USD 410/lt ldt
China	Bullish	USD 360/lt ldt	USD 380/lt ldt

Source: steelguru. 13 December 2012

http://www.steelguru.com/international_news/GMS_report_on_ship_breaking_industry_for_WEEK_49_2012/295019.html