Two reefer vessels sold en-bloc, says Wirana report
Imported scrap prices marginally improved by US$2/MT while local demand for billet and construction grade finished steel is improving.
“We are seeing some positive signs emerging in the local steel market. The local steel plate prices remained at about same levels,” says Wirana Shipping for the week ended 26 Aug 2023.
“Local billet trade prices have improved by US$16/MT whereas the local rebar prices have improved by US$24/MT as we approach the busy construction season starting from next month.”
Industry views this positive news with caution and would like to see that this price increase and demand sustains over next couple of weeks, and the mood is positive.
There could be tightening of liquidity as banks mop up excess liquidity just as India’s retail inflation for July hit 15 months high at 7.44% which also has triggered a discussion at RBI whether another rate hike is necessary.
There was an aggressive stance from ship recyclers as seen for two reefer vessels sold en-bloc this week, according to the report.
“Given the present improving market and positive sentiments, we would expect prices offered by ship recyclers to improve,” said the report. Fiinews.com
