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Turkish ship scrap output to fall short of '13 target: association

Keywords: Tags  ship scrap, shipbreaking, Gemisander, ship recyclers association, steel mills, ferrous scrap, Cem Turken


BURSA, Turkey — Turkey will produce significantly less ship scrap in 2013 than projected due to falling scrap prices, according to Turkish ship recyclers association Gemisander.

The association until recently estimated that Turkey would surpass its installed ship recyling capacity of 900,000 long dry tonnes (ldt) this year. However, the year-end production estimate has now been curbed to slightly more than 600,000 ldt, a spokesman for the association said July 2.

The country’s shipbreakers processed 109 ships in the first half of the year, totalling 399,367 ldt, the group said.

Scrap prices fell sharply during that period, while the prices of ships to be recycled remained comparatively higher. This was the principal factor behind the declining production, the spokesman said.

"We got some big sizes of ships this year, which makes them harder to demolish, takes longer and requires a larger space. This was another reason for falling production," he said.

Turkey’s ship scra production totaled 927,000 ldt in 2012, Gemisander added.

Turkish domestic prices for melting scrap from shipbreaking increased this week, following strengthening imported scrap prices, AMM sister publication Steel First was told.

Steel First’s weekly assessment for melting scrap from shipbreaking was $360 to $365 per tonne delivered July 2, up from $350 per tonne a week earlier.

Two mills were reported bidding $365 per tonne delivered for the material, while three other mills were bidding $360 per tonne delivered.

Those mills bidding $360 were expected to increase the figure to $365 per tonne, Steel First was told.

The country’s only shipbreaking yard is in the western town of Aliaga, in Izmir. The yard supplies scrap to such steel mills as Özkanlar Metal Sanayii ve Tic, Cebitas Demir Celik Endustrisi AŞ, Habas LPG Group, Ege Çelik Endüstrisi Sanayi ve Ticaret AŞ and İzmir Demir Çelik Sanayi AŞ.

A version of this article was first published in AMM sister publication Steel First.


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