Ship Recycling : Minimal interest in Market: BEST OASIS
As the Hong Kong Convention enforcement approaches, the global ship recycling market remains quiet with activity restrained by regulatory developments and weak sentiment. In India, local conditions remain soft with minimal interest. A new directive now mandates IHM certification for new vessels from 26 June 2025, while existing ships must comply before recycling or by mid-2030. Only HKC-compliant yards are permitted for recycling, with provisions for converting existing Statements of Compliance to IHM Certificates. In Bangladesh, uncertainty persists with no clear direction on NOC approvals for non-HKC yards. Even certified facilities are cautious, offering significantly below recent price levels, and overall activity remains limited. Pakistan has seen a rise in buying interest as the HKC deadline nears, driven by timing rather than a shift in sentiment. A new port directive now requires full IHM documentation for all recycling candidates, though no yard has yet been officially confirmed as compliant. Türkiye remains flat and unchanged from the previous week, reflecting its usual market consistency.
As attention shifts toward EU SRR-compliant ship recycling, new yards are being developed under a framework that appears structured, visible, and progressive. It presents a powerful image of responsibility. But is responsibility only about how it looks on paper? Many HKC-compliant yards have spent years improving infrastructure, aligning with global standards, and anchoring livelihoods for thousands. Their work may not carry the same polish, but does that make it any less credible or valuable? With more capacity coming in, it becomes harder to ignore the realities of a cyclical industry. When activity slows, will all these yards remain active? Will the communities that have grown around long-standing facilities still have a place in this changing landscape?
It’s not just about choosing one standard over another. The question is whether the pursuit of progress is being matched by a clear understanding of what sustainability means for the environment, the industry, and the people behind it.
Exchange Rates:
USD / INR USD / BDT USD / PKR USD / TRY
This Week : 85.54 Previous Week : 85.26 lost : 0.28
This Week : 122.11 Previous Week : 121.89 Lost : 0.22
This Week : 281.98 Previous Week : 282.03 Gained : 0.05
This Week : 39.22 Previous Week : 39.03 Lost : 0.19
Best Oasis Limited Weekly Ship Recycling Report 02
India
The market remains quiet while stakeholders prepare for the IHM mandate.
The market remains soft locally and overall, with sentiment flat and activity minimal. A new directive (DGS Circular No. 26 of 2025) mandates IHM compliance under the Hong Kong Convention: new ships must carry an International Certificate on IHM from 26 June Existing ships are not required to carry the certificate immediately but must comply before recycling or by 26 June 2030, whichever comes first. Recycling is permitted only at authorized HKC-compliant yards.
Indian-flagged ships with valid Statements of Compliance (SOCs) may have them converted to IHM Certificates without fresh inspection, provided the IHM Part I is up to date. The new certificate must include an annotation replacing the previous SOC, and conversions must be completed before 26 June 2025 through Recognized Organizations.
Beaching Dates
30 May to 01 June
09 June to 17 June
22 June to 30 June
Bangladesh
Price for Recycling Ships in Bangladesh The market slows amid NOC restrictions and downward pricing adjustments.
The market continues to face uncertainty, with no clear guidance on NOC issuance for recently developed, non-HKC yards. At present, only HKC-certified facilities are receiving approvals.
Even HKC-certified yards are entering the market cautiously and offering below the previously reported levels, reflecting the weaker sentiment. The last done prices are no longer achievable, with a correction of close to USD 20/LDT compared to recent benchmarks.
With limited approvals, falling prices, and no firm direction from authorities, market activity remains slow and uncertain.
Beaching Dates
11 June to 14 June
24 June to 27 June
11 July to 14 July
Pakistan
Price for Recycling Ships in Pakistan. The market behaviour shifts as the HKC countdown progresses and regulatory pressure mounts.
Buyers have grown noticeably more active ahead of the Hong Kong Convention (HKC) enforcement deadline, aiming to secure tonnage before new compliance standards fully take hold. This uptick in buying is seen as a strategic move, rather than a shift in long-term sentiment, driven by timing and regulatory anticipation.
Following Karachi Port Trust’s latest directive (Circular dated 27 May 2025), all vessels destined for recycling at Gadani must now carry a complete Inventory of Hazardous Materials (IHM) Parts I, II, and III. The documentation must be submitted before beaching, and this requirement is now mandatory with immediate effect, aligning local procedures with MEPC.379(80) and HKC protocols.
Despite this regulatory shift, no recycling yard in Gadani has yet been officially confirmed as compliant, and yard readiness remains in question. While interest has picked up, the broader market remains cautious and is waiting on further clarity from authorities regarding enforcement and certification.
Beaching Dates
Throughout the month
Türkiye
The market shows no improvement, extending a flat and weak trend. We have not observed any changes in this market; it remains flat, exactly as it was the previous week. This reflects the typical behavior and consistency of this market. Recent political tensions in Turkey have unsettled financial markets, leading to a sharp decline in the value of the lira.
This has reduced the appeal of investing in Turkish assets, especially for those seeking to benefit from interest rate differences. In response, the central bank sold 25 billion USD in foreign reserves to stabilize the currency. While this helped temporarily, ongoing uncertainty continues to make investors wary about the country’s economic outlook.
Beaching Dates Throughout the month
