© Michela Canalis

Shipbreaking market back in business

MSC scrapping some of its ships again

by Port News Editorial Staff

The shipbreaking market is beginning to boom again, as MSC’s latest sales confirm.

Referring to data provided by broker GMS, Lloyds List reports how, so far this year, the Italo-Swiss carrier has in fact delivered six containerships to cash buyers, and through them to hull disposal and recycling centres, The shipping company has returned to the scrapping market after a four-year absence (the last sale was in 2018).

The six ships include the Lucia and its twin sister MSC Floriana, 1900 TEU vessels with almost thirty years of service, which were sold respectively for $530 and $520 per tonne of recyclable scrap. Two other sister containerships are the 4814 TEU capacity MSC Pilar (1990) and the MSC Veronique (1985), sold at an average price of $544. The MSC Nora II, sold at $592 per LDT, and the MSC Giovanna (sold at $500 per tonne) complete the list. All six vessels are to be scrapped in Indian shipyards.

Globally, 32 boxships have been sent for scrapping since December. This is a significant number, especially when compared to the previous 12 months, during which no sales for scrapping were recorded by ship owners.

Referring to data provided by cash buyer GMS, Seatrade Maritime points out that recycling prices have fallen significantly everywhere, especially in Bangladesh, at $620 per tonne for containerships and $580 per tonne for bulk carriers

Slightly lower prices are offered by recycling and disposal yards in India, a country that recently adopted the 2009 International Convention for the Safe and Environmentally Sound Recycling of Ships.

Translation by Giles Foster

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