Indian shipbreaking prices declined for the second consecutive day amid a Rs200-300/mt ($2.66-4/mt) fall in ingot prices in Mandi Gobindgarh. The daily Davis Index for 4Ani declined by Rs850/mt to Rs26,550/mt ex-Alang.
Heavy rainfall in Mumbai and other regions has slowed down all major construction work in many parts of India. Shipbreakers in Alang lowered their offers for re-rolling scrap to ease their cash flow.
The index for 6Ani fell by Rs700/mt to Rs27,100/mt ex-Alang and the index for 8Ani declined by Rs500/mt to Rs28,450/mt ex-Alang.
Finished steel demand was upbeat early in the week, but fizzled out during the week as monsoon flurry slowed industrial activity. Ship breaking prices in India are expected to increase in the coming weeks as demand for ingots improve in the North and other markets.
Few trades were heard for 10Ani and 12Ani at the index prices. The index for 10Ani declined by Rs400/mt to Rs29,000/mt and the index for 12Ani declined by Rs350/mt to Rs29,200/mt ex-Alang.
Markets for steel plates subdued and the index for 1kg plates fell by Rs400/mt to Rs24,150/mt, while the index for 2kg plates declined by Rs300/mt to Rs27,250/mt ex-Alang.
The index for HMS attachments and Melting declined by Rs400/mt to Rs23,950/mt and Rs22,950/mt ex-Alang, respectively.
Many vessels are available for recycling this week but more tonnage is expected to arrive to HKC compliant yards in the coming weeks.