Sulphur Market Update – Fortnightly Outlook (15.05.2025 – 31.05.2025)

Sulphur India market trends and key developments for the upcoming fortnight:

1.   Southern Refineries

• MRPL: Expected to undergo a shutdown starting 15th May 2025, leading to a halt in production.

• HPCL & CPCL: Minimal output (~50-60 MT/day), insufficient to meet demand.

• BPCL: Implementing rationing (only 2 vehicles/day), increasing supply pressure. Availability may remain uncertain.

2.   Northern Refineries

• Reliance: Supplying sulphur only limited quantities under contract; no additional material expected.

• Nayara, IOCL, Bathinda: Production remains staggered with no clear timeline for resumption.

3.   Imports

• Container Imports: Significantly reduced due to market volatility; no major arrivals anticipated.

• Port Delays (Mundra & Kandla): Disruptions due to temporary closures (Pakistan border vicinity). Operations have resumed, but backlogs may delay shipments.

4.   International Market

• Prices remain firm, supported by strong demand from Indonesian metal smelters.

Earlier expectations of a price rollover have shifted; a minimum increase of ₹500/MT is anticipated in southern refineries. Northern India may face a supply crunch for the next two weeks unless refinery operations stabilize.

Outlook

Sulphur supply constraints in both regions may tighten availability. Price hikes likely in the south, while northern markets await clarity on refinery restarts.