GMS redefines the significance of Ship Recycling Globally


Dr Sharma: We have successfully negotiated about 3200 ships for recycling since inception

by Effat Mostafa

The ship recycling industry is a major supplier of steel and an important part of the economy in many countries‭, ‬such as Bangladesh‭, ‬India‭, ‬Pakistan and Turkey‭. ‬The recycling of scrap metals from ships also reduces the need for mining‭, ‬an environmentally damaging practice‭. ‬In this way‭, ‬it is a vital part of the circular economy‭, ‬which purports to minimize waste and recycle some materials infinitely‭.‬

Recent statistics revealed by the EU Commission shows that in 2016‭, ‬78%‭ ‬of total dismantled shipping tonnage in the world was beached‭, ‬with European owners accounting for around one third‭. ‬German and Greek owners beached 74%‭ ‬and 87%‭ ‬of their disposed vessels respectively‭, ‬while Norwegian owners recycled 13‭ ‬of their 17‭ ‬end-of-life vessels in modernized facilities‭.‬

Shipyards in the UAE are also expanding their business models and recycling will make foray into the country in near future‭. ‬According to Dr‭. ‬Anil Sharma‭, ‬Founder‭, ‬President and CEO of GMS‭, ‬ship recycling doesn’t have a direct impact on the Gulf as it cannot physically be done here using the Sub-continental Model of Beaching‭. ‬However‭, ‬with the strong focus on the shipping sector‭, ‬there could be a place for ship recycling in the GCC‭, ‬as it is currently being carried out in Europe or the US under very strict environmental guidelines‭.‬

For GMS being the World’s largest and first ISO certified Buyer of ships and offshore assets for recycling‭, ‬Marasi News exclusively emphasized the company’s progress on green ship recycling which includes contractual and procedural arrangements to ensure that end-of-life ships are recycled in a responsible manner‭. ‬


The World’s Leader Cash Buyer‭ ‬

Established in 1992‭ ‬in USA‭, ‬GMS is the world's largest‭, ‬ISO 9001‭ (‬BV‭) ‬certified Cash Buyer of ships for recycling‭. ‬The company continues to expand its operations with 8‭ ‬offices in USA‭, ‬Germany‭, ‬Greece‭, ‬UAE‭, ‬Singapore‭, ‬Korea‭, ‬China and Japan‭. ‬

GMS has been pioneering the ship recycling industry with innovative and practical solutions and by pushing the‭ "‬green‭" ‬agenda for safer recycling practices‭. ‬As the company manages to grow and expand its areas of operations‭, ‬principals of GMS now own and operate a small fleet of dry tonnage‭, ‬as well as container ships‭, ‬which are managed by in-house commercial and operations teams that are complimented by third-party managers‭. ‬

Dr Sharma highlights‭, ‬“I believe that the reason why we are positioned as an industry leader is because of our varied portfolio of end-to-end solutions‭ ‬and the tailored service we offer from 8‭ ‬locations across the world‭. ‬Then‭, ‬our integrity and professionalism in each deal we do‭ ‬for the last two decades have supported us to maintain our clients’‭ ‬loyalty as we try our best to add a distinctive value‭. ‬Moreover‭, ‬it is crucial for the shipping industry to understand the significance and the complexities of Residual Values in shipping and the importance of well-planning ahead within six months to a year prior to disposing of an asset‭. ‬We always aim to make ship recycling‭ ‬“Simple and Easy”‭ ‬to our clients and we manage the risk in many occasions in spite of the market price fluctuations‭.‬”


Breaking the records in‭ ‬
Ship Recycling‭ ‬

GMS has experience in the trading of all types of ships and offshore structures including but not limited to Floatels‭, ‬Semisubmersible Drilling Rigs‭, ‬Derrick Barges‭, ‬Pipe Layers‭, ‬and AHTS/PSV vessels‭. ‬He pointed out‭, ‬“We are proud to have hit record transactions of about 3200‭ ‬ships since our initiation‭. ‬We have successfully initiated our unique‭ ‬GMS RSRP‭ (‬Responsible Ship Recycling Program‭) ‬which operates in accordance with the IMO's Hong Kong Convention‭ (‬HKC‭) ‬guidelines‭ ‬and the ILO requirements‭, ‬addressing worker safety and meeting thee environmental standards set by the HKC‭.‬”

Dr Sharma clarified‭, ‬“The program allows both ship owners and ship yards stand to benefit from GMS’s experience and its versatile team‭. ‬It also offers ship owners the benefit of selling their ships to a globally acknowledged leader like‭ ‬“GMS”‭ ‬that would provide best market value for their ships and a ship recycling process carried out in a safe and environmentally responsible manner‭.‬”


Raising the responsible‭ ‬Ship Recycling awareness‭ ‬

In addition to being the world’s leading buyer of floating assets for recycling‭, ‬GMS has made a considerable investment to encourage research and development in ship recycling by academicians and scientists‭. ‬GMS has further supported several writers of Masters and Doctoral Thesis in ship recycling at international universities plus‭, ‬several creative artists‭. ‬Dr Sharma is always considering ship recycling as‭ ‬“fourth pillar of shipping”‭. ‬GMS has invested approximately one million US dollars in training and education to promote the importance of ship recycling and make sustainable recycling the norm across the industry‭. ‬Furthermore‭, ‬GMS is the only trading company that employs a Green Team of Ph.D‭. ‬specialists in ship recycling‭, ‬who monitor‭, ‬evaluate and report on the recycling process that takes place at‭ ‬‘green’‭ ‬certified recycling yards that have acquired a Statement of Compliance with‭ (‬HKC‭), ‬and therefore‭, ‬recycle floating assets under‭ ‬HKC’s guidelines‭.‬”


About Dr‭. ‬Anil Sharma‭:‬

Dr‭. ‬Anil Sharma is the Founder‭, ‬President and CEO of GMS‭, ‬the world’s largest buyer of ships for recycling‭.  ‬Originally from India‭, ‬Dr‭. ‬Sharma moved to USA where he earned his Master’s‭ (‬MBA‭) ‬and Doctorate‭ (‬DBA‭) ‬degrees in Business Administration‭.  ‬Prior to establishing GMS‭, ‬Dr‭. ‬Sharma was a Professor and Chairman in the Business Administration Department at a University in USA for 10‭ ‬years‭.‬

Dr‭. ‬Sharma is a regular speaker at prestigious shipping and finance conferences worldwide such as the Annual Gulf Ship Finance Forum‭, ‬Marine Money‭, ‬Mare Forum and Capital Link‭. ‬He has published several articles on ship recycling and has been interviewed extensively by shipping‭, ‬finance and mainstream media‭.  ‬He continues to champion the cause for responsible ship recycling‭.  ‬Lloyd’s List has recognized his contributions to the industry by listing him amongst the Top 100‭ ‬Most Influential People in Shipping for the last seven years in a row‭. ‬