The Indian subcontinent’s ship breaking industry has suffered a double whammy of bad news following budget announcements in Pakistan and Bangladesh.
Pakistan plans an increase in the tax on steel imports, while Bangladesh plans to introduce value added tax (VAT) on ships bought for scrap.
“Unlike in previous years, unfortunately the market has been hit not by one, but two negative budget announcements, which is the last thing that the depressed industry needs,” said Clarksons in its weekly market report.
