India sulphur prices down 2% on PPL purchase tender award

03 February 2012 12:49  [Source: ICIS news]

LONDON (ICIS)--Indian sulphur spot prices fell by another $4/tonne (€5/tonne) after Paradeep Phosphates Ltd (PPL) awarded its 27 January purchase tender, a trader source said on Friday.

PPL has made an award to Dubai-based trader, Swiss Singapore, at close to $182/tonne CFR (cost and freight) under the tender, according to a trader source.

This price is down 2% from the previous Indian spot business, concluded at $186/tonne CFR earlier in January.

Indian sulphur prices are declining due to a weak global demand outlook for phosphate fertilizers in the first quarter. As a result, feedstock sulphur demand in India and other major import markets, including China and Morocco, has been low.

Swiss Singapore is due to deliver 35,000 tonnes of granular sulphur to Cochin between 1 March and 4 March.

The tender award nets back to the $150s/tonne FOB (free on board) Middle East, currently unworkable in any markets other than, potentially, Iran.

Iran has been subjected to international sanctions and has to sell its sulphur at distress prices because few companies are able to do business with the country.

Swiss Singapore previously indicated that it is in talks with another trader for 30,000-35,000 tonnes of Iranian sulphur for February shipment. Swiss Singapore is targeting the $150s/tonne FOB, $20/tonne below seller ideas.

($1 = €0.76)

For more on sulphur visit ICIS pricing fertilizers

By: Freda Gordon
44 208 652 3214

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