SCRAPPING UNDER FIRE

by Laura Parker

The scrap value of ships has historically been like a magic elixir in the shipping industry. Residual value is relied upon by bankers and owners as a way to trim the downside off of amortizing shipping loans and to limit investment risk. Scrap value has long been an essential factor for improving, at least potentially, the balance between the supply of and demand for tonnage.

But this often taken for granted feature of shipowning has come under fire. An industry that has historically been out of the sight and mind of society is now being closely scrutinized by policy makers and environmental groups as being barbaric and one where worker safety and environmental protection are obstacles that stand in the way of profit.

This is only an excerpt of SCRAPPING UNDER FIRE

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