With the global markets increasing the demand for sea freight, it’s great to see that the ship recycling industry is having its busiest year, converting old scrap vessel at the end of their lifespan to be converted into new cargo vessels for international duties. An international clearing agent will tell you that new ships on the waters have increased by up to 20% each year, and with the recycling efforts of 2011, that figure is remarkably lower, pushing down carbon footprint levels from international trading.
The dry bulk market is staging a huge comeback due to the impressive numbers of decrepit vessels being recycled in the major areas of the world market. Records are to be set with over 20 Million of dead weight tonnage (DWT) being recycled in this year and even higher should more major players come to the plate. Older vessels on water are less efficient and often user higher amounts of fuel and will not run as efficiently as newer more eco friendly models. All of this bodes well for the sea freight industry as well, with construction getting a huge boost from the amount of dry tonnage heading to the docks for recycling.
The 4 major ship recycling countries internationally are China, Bangladesh, India and Pakistan. Experts and industry leaders are expecting that a 40% yield will bring better returns to the industry and new vessels. Complete green ship recycling endeavours are able to recover 99% of the ships steel and parts successfully for renewed use as well as getting rid of all harmful by products such as asbestos.