Best Oasis Market Report: Ship Recycling Market Sees Mixed Momentum as India Recovers- Bangladesh Retains Lead
Dubai, November 8, 2025 — The world’s leading cash buyers for ships destined for recycling, Best Oasis, in their latest weekly ship recycling market report, have noted a mixed sentiment across major recycling destinations. While India has shown early signs of revival, Bangladesh continues to dominate with stronger price levels, and Pakistan remains sluggish. Meanwhile, Türkiye has maintained steady pricing amid limited tonnage supply.
India: Signs of Revival but Competition Remains Tough
The Indian ship recycling market exhibited a modest recovery over the past week, with a noticeable resurgence in buyer interest. The uptick in activity has given rise to cautious optimism among recyclers in Alang, which has seen an otherwise muted few months.
Prices for ship recycling in India are currently at USD 415 per LDT for containers, USD 402 per LDT for tankers, and USD 386 per LDT for bulkers, marking a week-on-week gain of 0.84%. Despite this improvement, the report highlights that India still faces an uphill battle in matching the higher offers emanating from Bangladesh.
“Bangladesh continues to pay notably higher prices, prompting many shipowners and brokers to divert their tonnage there,” the report observed. “As a result, India’s overall activity remains limited.”
Another concern for Indian recyclers is the arrival of sanctioned vessels at significantly discounted prices. These ships, offered at lower levels, could distort market competitiveness and potentially affect the operational dynamics of compliant green yards.
Market insiders believe that while the sentiment in Alang is gradually improving, sustainable growth will depend on a broader global uptick in scrap steel demand and a reduction in price disparities across South Asia.
Bangladesh: Slight Softening but Still in the Lead
The Bangladeshi ship recycling market remains the strongest in South Asia despite showing signs of slight softening during the past week. Prices have held firm, with USD 440 per LDT for containers, USD 430 per LDT for tankers, and USD 395 per LDT for bulkers, although this represents a 1.17% week-on-week decline.
According to Best Oasis, Bangladesh continues to attract firm buying interest, particularly in the tanker segment, where sentiment remains positive. However, bulk carrier prices have weakened further, reflecting increased caution among recyclers.
“The overall tone may be slightly softer, but Bangladesh retains a clear lead over regional competitors,” the report stated. “Price levels remain strong, and the market momentum continues despite a few signs of cooling.”
Chittagong’s yards remain busy, supported by stable domestic demand for steel and relatively favorable currency movements. The sale of the MT Raissa, a 1998-built motor tanker, delivered at Chittagong at a robust USD 473 per LDT, underscores the country’s continued attractiveness for shipowners seeking higher returns.
Pakistan: Dull Sentiment but Hope on the Horizon
The Pakistani ship recycling market continues to lag behind its regional counterparts, with sentiment largely stagnant. Prices have stayed unchanged week-on-week at USD 415 per LDT for containers, USD 400 per LDT for tankers, and USD 390 per LDT for bulkers.
The report describes the market as “largely unchanged, with dull sentiment and limited activity persisting for another week.”
However, there is a silver lining. The Pakistani government’s announcement of plans to establish a new green ship recycling yard at Port Qasim has generated significant industry interest. The initiative is seen as a potential game-changer that could introduce modern, environmentally compliant recycling infrastructure and restore investor confidence.
“While immediate market activity remains slow, the long-term prospects could improve if the Port Qasim project materializes,” the report added. “Such modernization could help Pakistan align with global environmental standards and attract more shipowners seeking compliant disposal options.”
At present, recyclers in Gadani continue to face challenges stemming from low liquidity, high financing costs, and limited availability of suitable vessels. Nonetheless, stakeholders remain cautiously hopeful that policy-driven reforms could gradually revive the sector.
Türkiye: Stable Market Amid Limited Tonnage Supply
In contrast to the volatility seen in South Asia, Türkiye’s ship recycling market remains steady. Prices have held firm at USD 280 per LDT for containers, USD 270 per LDT for tankers, and USD 260 per LDT for bulkers, with no week-on-week changes reported.
According to Best Oasis, “Market sentiment and price levels have remained stable over the past few weeks, showing no major movement in either direction.”
A key factor limiting market activity in Türkiye is the ongoing shortage of available tonnage. The constrained supply of recyclable ships has restricted new transactions, keeping market volumes subdued.
Meanwhile, macroeconomic pressures continue to weigh on recyclers. The Central Bank of Türkiye has projected year-end inflation at around 31%, indicating persistent price pressures within the broader economy. Despite these challenges, Turkish recyclers continue to maintain environmental compliance and operational stability, preserving the country’s position as a key recycling hub for European tonnage.
Global Scrap Steel Market and Exchange Rate Overview
The global scrap steel market showed little to no week-on-week movement, reflecting a largely steady tone across key regions. Prices for HMS 1&2 (80:20) and shredded scrap remained unchanged as follows:
| Location | HMS 1&2 (USD/MT) | Shredded (USD/MT) | W-O-W Change (%) |
|---|---|---|---|
| India | 350 | 360 | 0 |
| Bangladesh | 355 | 365 | 0 |
| Pakistan | 355 | 360 | 0 |
| Türkiye | 348 | 368 | 0 |
The stability in scrap prices provides some cushion for recyclers, though muted global steel demand continues to limit aggressive buying.
Currency fluctuations have also played a role in shaping market sentiment. According to Best Oasis, exchange rate movements for the week are as follows:
| Currency Pair | This Week | Previous Week | Change |
|---|---|---|---|
| USD/INR | 88.69 | 88.74 | +0.05 Gain |
| USD/BDT | 121.92 | 122.36 | +0.44 Gain |
| USD/PKR | 282.41 | 283.06 | +0.65 Gain |
| USD/TRY | 42.16 | 42.00 | -0.16 Loss |
The marginal strengthening of South Asian currencies against the U.S. dollar may provide some short-term relief to recyclers facing import cost pressures.
Vessel Sales and Market Transactions
This week’s activity list remains modest, with only two confirmed transactions reported by Best Oasis:
-
MT Raissa, a 1998-built motor tanker, delivered at Chittagong, Bangladesh, sold at USD 473 per LDT.
-
ARK, a 1985-built multipurpose vessel (MPP), delivered at Alang, India, with the sale price undisclosed.
The limited number of concluded sales underscores the current tight supply of end-of-life tonnage in the global market.
Outlook: Stabilization with Regional Divergence
Best Oasis concludes that the global ship recycling market remains in a phase of cautious stabilization. India’s gradual improvement suggests some recovery potential, while Bangladesh maintains its lead thanks to strong pricing and demand. Pakistan’s prospects hinge on long-term infrastructure investments, and Türkiye continues to demonstrate steady performance under economic constraints.
Overall, the near-term outlook will depend on the availability of tonnage, steel price trends, and currency stability. As the year nears its close, recyclers across regions are expected to focus on maintaining competitiveness and ensuring compliance with evolving environmental standards.
Author: shipping inbox
shipping and maritime related web portal
