On its latest weekly report, GMS highlights that Pakistan narrowly missed out on vessel purchases, purely on account of aggression being shown by India and the fact that it has mostly been the sale of preferred container units that are being offered.
ccording to GMS, India has once again remained the irresistible recycling destination for another week, with some fantastically priced sales being reported here and rampant demand that seems to once again be firing on all cylinders.
Pakistan is not too far behind India, with some select Dry Bulk sales to Gadani Recyclers who are now re-emerging and have L/C approvals in place, whilst Bangladesh has been left behind in the doldrums during another dreadful week for domestic Recyclers there.
Finally, at the far end, there seems to be some positive movement in Turkey as reports of a firming demand and optimism returning in the market, have come forth this week. Meanwhile, Indian local steel plate prices had gained about USD 13/LDT last week (as international steel prices simultaneously reported a 2% increase) and this week saw some further gains, before a slight tail off towards the end of the week.
Notwithstanding, Cash Buyers continue to speculate on units and this feverish buying could more than likely lead to some loss-making deals, just for the sake of having vessels in hand to sell. It all seems to be bubbling into some form of “vessel-concluding” obsession, so inexplicable has the fervor to acquire vessels become – and that too at seemingly unrealistic levels, even if that is at a price that is totally unachievable in today’s market.
It has reportedly been a positive environment post the recent G20 summit, with infrastructure project announcements and relatively steady (where levels currently are) steel prices that are encouraging Alang Buyers into the bullish buying being witnessed at present.