GMS update on Shipbreaking in Pakistan in Week 52 - RECOVERY UNDERWAY!

Image Source: rackcdn.com

Given the increasing number of wet and green recycling units committed for recycling over the recent few weeks, it has been a far quieter end to the year in Pakistan, even though highly anticipated promises of a market reopening for tankers have permeated the rumor mills for several weeks now.

The delays are reportedly due to the PSBA and the local government continuing discussions on the matter with no final outcome agreed to / reached at the time of writing.

The industry of course, is still recovering from the currency crisis, which is ongoing, as the PKR has crossed well over the PKR 110.30 mark against the USD, a sudden shock to the system, which will hopefully resolve itself as the government pumps more liquidity into the system.

It would not be surprising if competing markets (particularly India) snag some of the favored large LDT dry units away from Pakistan whilst this recovery remains under way and this would certainly be a shame for a market that has really impressed as a sub- continent front-runner this year.

GMS Weekly

Source : GMS Weekly