With budgets due in both Bangladesh and Pakistan this week, it has been somewhat of a tentative period for both markets, with much of the recent momentum stalled whilst rates and sentiments have been declining (in Chattogram in particular).

We certainly do not expect there to be any dramatic outcome in either budget that would negatively affect current prices. However, as usual at this time of the year, End Buyers would rather play it safe & avoid any unwarranted surprises and would rather have ships delivered before the budget is implemented, in the event additional taxes are imposed on the ship recycling sector.

The Indian budget recently passed as well, without much fanfare or adverse effects on the domestic ship recycling sector. Meanwhile, Covid-19 cases are reportedly declining across the country as oxygen supplies to local yards resumes once again and Alang gradually comes back online.

Steel plate prices remain positively poised in both Alang and Gadani this week, where demand is ramping up once again, having recently lost a majority of the larger LDT tonnage to an ever-bullish Bangladesh.

Chattogram Recyclers, on the other hand, have started to see their steel prices cool off going into the traditionally weaker summer / monsoon months and they have started losing (particularly some of the bigger units) to an improving Gadani market of late.

Finally, the Turkish market has seen a further improvement in steel plates as levels stay steady for another week.

For week 24 of 2021, GMS demo rankings / pricing for the week are as below.

Download PDF

Source: GMS