This article compares certified Indian and Western ship recycling yards using carbon data, steel reuse practices, treaty alignment with the Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships, and real-world case studies, including FPSO dismantling. Field evidence and hard numbers tell a different story. Certified Indian facilities already meet the convention’s rules, handle larger volumes, and deliver material flows with a lower carbon footprint than many of their Western counterparts.

Hong Kong Convention compliance you can verify

110 Indian yards have Statements of Compliance from classification societies that are members of the International Association of Classification Societies (IACS), including ClassNK, Lloyd’s Register, and IRClass.

Auditors conduct periodic follow-up visits to ensure that certified yards continue to implement the Hong Kong Convention in both letter and spirit. These evaluations cover critical aspects such as flooring integrity, drainage systems, worker training, and hazardous waste tracking. To date, over 10 Indian ship recycling yards have been audited by the European Commission, and more than 35 have formally applied to be included on the EU Ship Recycling Regulation (EUSRR) compliance list. This proactive engagement reflects the industry's confidence in meeting the highest international standards, within and beyond European regulatory frameworks.
Recycling yard owners invested in full-width concrete pads with closed drains, heavy-lift cranes, and vessel-specific work plans. Every certified plot trains their workers before, during and after each project. These changes required personal capital, not public subsidy, and they run counter to dated images still used by campaign groups.

Steel routes that cut energy use

When a ship beaches at Alang, ship recycling yards workers torch away blocks that roll straight into re-rolling mills. 75% of the hull steel leaves the yard as plate, beam, or girder. Re-rolling sidesteps the furnace and trims energy demand by roughly 16% while lowering greenhouse-gas output by 58% compared with virgin blast-furnace steel. Re-rolling avoids approximately 1.6 tonnes of carbon dioxide equivalent per tonne of steel, based on operational data from certified Indian yards. European and Turkish yards consign almost every tonne to melting plants that run on imported electricity, raising both power use and carbon intensity.

The economics reflect environmental reality

Market bids show the impact. Labor and waste fees in Turkey add about 30 US dollars per light-displacement tonne for a ten-thousand-tonne container ship, yet Turkish plots often pay 150 to 200 dollars less per light-displacement tonne than buyers in India. The gap exists because re-rolled steel commands a premium while melted scrap competes with bulk imports. Lower bids do not signal cleaner work; they signal weaker downstream value.

Carbon arithmetic that survives distance

Critics sometimes argue that the ballast voyage from Europe to India cancels any emission savings. The numbers say otherwise. A Panamax bulker carries about 17,000 tonnes of steel. Re-rolling avoids roughly half a tonne of carbon dioxide equivalent per tonne, preventing about 8,500 tonnes of emissions. Towing a ship from India to Europe typically consumes about 1,200 tonnes of fuel, resulting in emissions of approximately 3,800 tonnes of CO₂ equivalent, well below the 15,850 tonnes associated with a dry tow to Northern Europe. Long distance does not erase the benefit. This reinforces that sustainable ship recycling decisions must include a full assessment of lifecycle emissions.

Case study: FPSO Northern Endeavour

Australia chose to tow the offshore unit Northern Endeavour 15,000 nautical miles to Denmark. The dry tow will burn more than 5,000 tonnes of fuel oil and release a matching load of greenhouse gases. The additional emissions from this routing decision exceed 12,000 tonnes of CO₂ equivalent, roughly equal to the annual footprint of 2,500 Australian cars. Choosing a closer HKC-aligned yard would have cut transport-related emissions by more than 75%. Indian yards also reuse or repurpose over 98% of each unit’s material, including hull steel, navigation equipment, machinery, electrical systems, and accommodation blocks. Many European sites still send large components for disposal, and Europe remains a net exporter of steel scrap. In contrast, Indian yards support a robust resale market and deliver material directly into a mature secondary economy that values recovery over landfill. The Australian decision provides a live example of how policy can drift away from data.

Hazardous waste managed close to the source

Alang yards manage hazardous waste, including asbestos, paint chips, and sludge, by sending it to a state-run treatment facility located approximately five kilometres inland. The average disposal cost for asbestos in India is around USD 300 per tonne, compared to roughly USD 800 in Turkey, though actual figures may vary by region and facility. However, lower disposal costs in India do not equate to lower standards. On the contrary, Indian yards demonstrate that high-quality waste management can be achieved without excessive expenditure.

Social and circular gains

The Gujarat Maritime Board counts 15,000+ direct jobs and more than half a million indirect roles tied to ship recycling and the second-hand trade in machinery, furniture, and fittings. Each reused component keeps embedded carbon in service and supports small businesses across western India. More than 700 structured training programs have reached over 10,500 workers in Indian ship recycling yards, strengthening compliance, technical knowledge, and operational safety. These capacity-building programs are part of industry initiatives like the Sustainable Ship and Offshore Recycling Program (SSORP), focused on improving ESG alignment in South Asia.

Questions every policymaker should ask

• Where will the recovered steel travel, and does that route comply with climate pledges?

• What on-site medical and insurance coverage protects workers?

• How far must hazardous residues travel before treatment?

• Will the yard have space when global volumes rise under the now-active HKC?

• Have you conducted a full life cycle assessment, including emissions, reuse potential, and downstream logistics, to inform your recycling decisions?

• Have you personally audited the operational quality of yards in India and compared them with facilities elsewhere to form an evidence-based conclusion?
   

Practical steps to embed greener choices

Conduct a dual audit that evaluates both treaty compliance and downstream carbon impact. Replace assumptions with verified data by visiting facilities directly and assessing operations on the ground. Evaluate each yard based on real-time environmental controls, worker safety systems, and material handling practices rather than relying on outdated perceptions.

Ensure that perceptions are not shaped by images or reports that are a decade old. Base decisions on current site conditions, updated compliance records, and independently verified data.

Incorporate a full life cycle assessment into project planning to account for total emissions, reuse potential, transport distances, and end-of-life steel flows. Factor in local resale and reuse capabilities to understand the complete environmental and economic value chain.

Ensure that comparisons between facilities are based on direct experience and documented evidence. Release the final payment only after all licensed facilities provide stamped waste certificates and required documentation. During site evaluations, engage with worker unions and local organizations to gather practical insights that offer a clearer view of daily operations than presentations or policy summaries.

Data leads to a clear verdict

The Hong Kong Convention is now live. Indian yards already meet their demands, deliver higher material reuse, and prove that large-scale upgrades can succeed outside West. Western yards provide niche service for naval and offshore projects, yet they melt more metal, bid less for tonnage, and still face documented shoreline challenges. Stakeholders who compare verified compliance records, steel flows, and carbon math will find that a certified Indian yard often serves climate goals, public budgets, and community welfare more convincingly than the default European option.

Many of the same Western yards chosen for their geographic location send dismantled steel back to India for re-rolling. This circular detour adds emissions and cost without adding value. Climate logic and compliance frameworks now point clearly toward facilities that combine scale, treaty alignment, and proven performance, regardless of latitude.