Breaking News: ‘No Work’: India’s Alang, the World’s Largest Ship Graveyard, Faces Decline

Alang, Gujarat, India’s famed ship-breaking hub, Alang – the world’s largest graveyard of ships – is experiencing a sharp downturn in activity, leaving workers idle and local businesses struggling. Once a bustling centre where massive retired vessels were dismantled for steel and parts, the yard now sees far fewer arrivals, threatening livelihoods and an entire industrial ecosystem.

Located on the windswept Arabian Sea coast in Bhavnagar district, Alang has been the backbone of India’s ship recycling industry since the early 1980s. Over the decades, it accounted for nearly 98 % of the country’s ship recycling and about one-third of the global volume. Workers here traditionally cut apart oil tankers, cargo ships and cruise vessels, salvaging steel and machinery that fuels India’s construction and manufacturing sectors.

However, the number of ships arriving has plummeted over recent years, with the yard handling only a fraction of its peak volume. Data shows that in FY25, just 113 ships were beached for recycling — the lowest in over a decade, compared with roughly 400 ships annually at Alang’s busiest period.

Industry insiders point to several reasons for the decline. Global freight rates have surged, prompting ship owners to keep ageing vessels in service longer instead of selling them for scrap. This trend sharply reduces the supply of end-of-life ships available for dismantling.

Another factor is rising compliance and operational costs. In recent years, India adopted the Hong Kong International Convention for Safe and Environmentally Sound Recycling of Ships (HKC), forcing yards to overhaul infrastructure and improve safety systems. While these upgrades aligned Alang with global standards, they also increased expenses, making the yard less competitive compared to rivals in Bangladesh and Pakistan, where scrap prices are higher.

The downturn has hit the local economy hard. Many workers, largely migrants from states such as Bihar, Jharkhand and Odisha, have already moved on to other jobs, showing up only when a new ship arrives. Shops that once sold salvaged ship parts are now nearly empty, and ancillary industries tied to ship recycling are struggling to survive.

With Alang’s shipbreaking yards operating well below capacity, the future of this storied industrial hub remains uncertain, raising concerns about jobs, economic sustainability and the survival of a sector that for decades was a symbol of India’s industrial might.