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Bangladesh or bust: the only choice in scrap.
(From Lloyds List)
Byline: Brian Reyes in Gibraltar
BANGLADESH remains the only destination of interest for shipowners thinking about scrapping their vessels.
Despite talk that Pakistan, propped up by recent tax breaks, is set to step into the fray, Chittagong is the only market that has been tested of late and breakers there are way ahead of the pack when it comes to rates.
Last week, Bangladeshi breakers made a foray into the dry sector and paid $365 per ldt for the 1981-built, 20,778 ldt capesize bulker Orient Honesty.
The vessel had been touted to the Chinese market for weeks, but breakers could not push much beyond the $300 per ldt mark and ultimately lost out to Chittagong.
This was the first capesize to be sold for scrap in over 18 months and some brokers believe it could set the scene for more of the same to come.
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