The European Commission has proposed adding two Indian facilities to its approved ship recycling list, potentially ending a decade-long exclusion of South Asian yards from the European regime.
The move would mark the first time that recycling facilities in India have been admitted to the European List of Ship Recycling Facilities, although the updated list must still be finalised and formally adopted.
One of the facilities is operated by Shree Ram Recycling at Alang, the world’s largest concentration of shipbreaking capacity.
EU-flagged vessels are required to use a facility on the European List when sent for demolition. The regulation implements the Hong Kong Convention’s requirements while imposing additional European safety and environmental standards.
European Shipowners, formerly known as ECSA, welcomed the Commission’s proposal and called for its rapid adoption.
“This is a long-awaited and very welcome step,” said secretary-general Sotiris Raptis, adding that the decision rewarded investments made by the two yards to meet EU standards.
Indian facilities have been attempting to join the list since 2016. A total of 32 applications had been submitted by last year without a single yard being accepted, despite repeated European inspections and the modernisation of facilities at Alang.
More than 110 Indian yards now hold statements of compliance with the Hong Kong Convention from members of the International Association of Classification Societies. Three facilities recently completed the procedures needed to seek EU recognition, while several others remain under assessment.
Shipowners have long argued that the European list lacks sufficient capacity and suitable facilities for dismantling large ocean-going vessels. Much of the world’s recycling infrastructure is concentrated in India, Bangladesh, Pakistan and Türkiye.
The Hong Kong Convention entered into force in June last year, establishing global requirements covering hazardous materials, worker safety and environmentally sound dismantling. The EU regime remains stricter in several areas, including controls intended to prevent hazardous waste leaking from recycling sites.
Approval of the two Indian yards would therefore carry significance beyond the additional capacity. It would establish a route for compliant facilities in non-OECD countries to enter the European system after years in which geography proved as decisive as operating standards.
Raptis said the move should be followed by recognition of more qualified yards outside Europe.
Final adoption would also give owners of EU-flagged ships their first approved recycling option in the Indian subcontinent.
