Recycling Markets in Sub-Continent Facing Challenges Ahead of Monsoon Season

Sub-continent recycling markets are currently experiencing a downturn, particularly as the quieter monsoon season approaches, according to a report from cash buyer GMS.

With the deadline for yard compliance with the Hong Kong Convention looming on June 26th, Pakistani and Bangladeshi recyclers are urged to expedite their readiness. While most Indian yards are already certified, the focus now shifts to Pakistan and Bangladesh to bring their facilities up to standard promptly.

Despite the challenges, No Objection Certificates have been granted as an exemption for ships, leading to a bustling anchorage in both Bangladesh and India. In contrast, Pakistan has seen no fresh arrivals for the third consecutive week, leaving the country’s recycling industry in limbo.

The steel plate prices have been stagnating or declining, coupled with mixed performances by currencies, including Turkey. This has further complicated pricing dynamics at recycling destinations, as the number of available candidates for recycling has dwindled. Ship owners are cautiously monitoring trade negotiations in the coming weeks before making decisions on freight rates and whether to continue trading their older vessels or opt for recycling.

As we head into May, the industry is bracing for challenging times. GMS demo rankings and pricing for week 19 of 2025 are as follows:

With uncertainty looming over the industry, stakeholders in the sub-continent recycling markets are navigating through a complex landscape. The need for compliance with international standards, coupled with fluctuating market conditions, is shaping the future of the recycling industry in the region.