Review article
https://doi.org/10.31217/p.30.2.5
Ship demolition activity: A monetary flow process approach
Thanasis Karlis
orcid.org/0000-0002-9036-8161
; Australian Maritime College, University of Tasmania, Swanson Building, Launceston, Tasmania
Dionysios Polemis
; Department of Maritime Studies, University of Piraeus, Piraeus. Greece
Abstract
The demolition market assists in balancing the supply and demand in the shipping industry and is a major driver of market equilibrium and the level of freight rates. Even so, literature related to ship demolition, focuses mainly on the environmental and regulatory aspects of the topic. Literature related to the economic analysis of the industry and the factors affecting demolition activity is rather limited and sporadic. From this perspective the current paper is helpful to further build up insight of the shipbreaking industry. The decision to sell a ship for scrap is driven by a number of factors with the most important being the state of the market cycle. The offered scrap price for the ship will also affect the decision of the shipowner. In this paper we analyse the process of ship sale for scrap with particular focus on the monetary flows of the ships sale process.
Keywords
Dry bulk market; Demolition; Maritime markets
Hrčak ID:
171451
URI
Publication date:
23.12.2016.
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