Ship demolition in 2024
Ship demolition is the process of dismantling and recycling ships that have reached the end of their operational life. It is a complex and challenging process, but it is also essential for environmental and economic reasons.
The global ship demolition industry is expected to grow significantly in the coming years, driven by a number of factors, including:
- An aging global fleet: The average age of the global fleet is increasing, with more and more ships reaching the end of their operational life.
- Increased demand for recycled materials: There is a growing demand for recycled materials, such as steel and copper, which can be recovered from ships.
- Tighter environmental regulations: Many countries are tightening their environmental regulations, making it more difficult and expensive to dispose of ships in a harmful way.
Ship demolition in India
India is the world’s leading ship recycling destination, accounting for over 30% of the global market. The Indian government has taken a number of steps to promote the ship recycling industry, including:
- Enacting the Recycling of Ships Act, 2019, which ratifies the Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships, 2009.
- Investing in the development of modern and environmentally sound ship recycling facilities.
- Providing financial incentives to ship recycling yards.
As a result of these initiatives, India’s ship recycling capacity is expected to double by 2024. This will make India even more attractive to ship owners looking to recycle their vessels.
Estimate of the number of ships to be recycled in 2024
According to a recent report by the International Maritime Organization (IMO), the estimated number of ships to be recycled in 2024 is 1,500. This represents a slight increase from the current level of around 1,300 ships recycled per year.
The IMO report also notes that the ship recycling industry is expected to become more concentrated in the coming years, with a handful of large ship recycling yards accounting for a majority of the global market. This is likely to lead to increased competition among ship recycling yards and lower prices for ship owners.
Conclusion
The ship demolition industry is expected to grow significantly in the coming years, driven by an aging global fleet, increased demand for recycled materials, and tighter environmental regulations. India is well-positioned to benefit from this growth, thanks to its modern ship recycling facilities and financial incentives.
In 2024, it is estimated that around 1,500 ships will be recycled globally. This represents a slight increase from the current level of around 1,300 ships recycled per year. The ship recycling industry is also expected to become more concentrated in the coming years, with a handful of large ship recycling yards accounting for a majority of the global market.