Africa Bitumen Market : Buyers Face Higher Costs and Uncertain Delivery Routes

Prices Are Rising, but Supply Routes Have Yet to Normalize

Ongoing tensions between Iran and the United States in the Middle East, restrictions on transit through the Strait of Hormuz, and rising crude oil and marine fuel costs continue to affect bitumen prices and the execution of supply transactions.

At the same time, demand is gradually increasing as parts of Africa approach a more active construction season. However, supply conditions vary significantly across West, East and Southern Africa.

Nigeria: Demand Is Strengthening as CFR Prices Rise

Market assessments indicate that CFR Lagos prices increased by approximately $26/MT compared with the previous week. As weather conditions improve, more buyers are seeking to secure supplies for the dry season, while cargo flows from Mediterranean origins and regional suppliers continue.

Despite stronger demand, inventory levels and cargo arrival schedules remain uneven across the market. Some suppliers are showing less pricing flexibility for cargoes with confirmed delivery schedules.

Market View

For Nigerian buyers, comparing CFR prices alone is not enough. Available volume, estimated time of arrival (ETA), payment terms and discharge arrangements should all be clarified before finalizing a purchase.

Ghana & Ivory Coast: Supply Is Improving, but Procurement Costs Are Higher

CFR Ghana and FOB Abidjan prices increased this week. Meanwhile, the gradual recovery of supply capacity in Abidjan is creating additional sourcing options for Ghana and neighboring markets.

Demand is also beginning to strengthen as the drier season sets in. However, improving supply does not necessarily mean prices will fall. Replacement costs remain exposed to increases in crude oil and high-sulphur fuel oil (HSFO) prices.

Market View

For buyers in Ghana and Ivory Coast, purchasing decisions should be based on a confirmed loading window and an executable FOB or CFR price. Planned supply should not be confused with cargo that is physically available and ready for shipment.

Senegal, Cameroon & Gabon: Part-Cargoes Remain a Practical Option

Cargo flows from Mediterranean origins to West and Central Africa continue, with some volumes reaching smaller destinations through regional hubs and part-cargo arrangements.

Market View

For buyers who do not require a full cargo, part-cargo shipments may offer a suitable alternative, provided that available capacity, the discharge port and the delivery window are confirmed in advance.

Kenya & Uganda: New Cargo Expected as Demand Remains Active

In East Africa, a new bulk cargo is expected to arrive in Mombasa toward the end of October, potentially covering part of the market's requirements. Demand in Kenya and Uganda remains active, while overland transportation to regional markets continues.

This trend highlights buyers' growing interest in European and Mediterranean supply, as direct sourcing from the Mideast Gulf continues to face shipping and payment constraints.

Market View

For Kenya and Uganda, cargoes with confirmed loading arrangements and a reliable ETA are more valuable than cheaper offers with uncertain execution. Buyers need to assess price competitiveness and transaction feasibility together.

Tanzania & Djibouti: Lower Origin Prices, but Freight Remains Elevated

Unlike West Africa, CFR prices for drummed bitumen in Mombasa and Dar es Salaam edged lower this week. Iranian FOB offers also softened slightly, but freight costs from Bandar Abbas and Jebel Ali to East African destinations remain elevated.

In Tanzania, some buyers are also considering bulk supply routed through Kenya because of restrictions affecting container flows from the Persian Gulf.

Market View

For Tanzania and Djibouti, a lower FOB price is only one component of the purchasing decision. Confirmed freight, the shipping route, payment feasibility and delivery timing ultimately determine which offer is genuinely competitive.

DRC & South Sudan: Delivery Logistics Matter More Than Small Price Differences

Overland supply flows from Kenya to the Democratic Republic of the Congo (DRC) and South Sudan continue. In these markets, access to regional inventories and the ability to maintain regular trucking operations directly affect delivered prices and arrival times.

Market View

Before purchasing, buyers should verify available stock, trucking capacity and transit conditions along the intended route. An attractive origin price offers limited commercial value without a reliable delivery route.

South Africa: Tighter Supply During the Peak Consumption Season

In contrast with the previous week, reduced import flows into South Africa, combined with increasing seasonal activity, are putting greater pressure on availability. Procurement costs from European and Mediterranean origins have also risen amid higher oil, marine fuel and freight costs.

Although some cargoes continue to arrive, traditional supply flows from the Mideast Gulf remain severely restricted. As a result, some buyers may face higher prices when seeking prompt stock and reliable delivery.

Market View

For South African buyers, securing supply in the coming weeks is becoming increasingly important. Confirmed cargo availability, terminal access and delivery schedules should be checked before accepting an offer.

Africa Bitumen Market Summary

• West Africa: Procurement costs and seasonal demand are both increasing, although regional supply availability is gradually improving.
• East Africa: Incoming bulk cargoes are helping improve access to supply, but freight costs and execution risks associated with sourcing from the Persian Gulf remain high.
• Southern Africa: Rising seasonal demand is coinciding with lower import flows, creating renewed pressure on supply availability.

The Key Message This Week

The market is not short of offers. It is short of certainty.

When selecting a supplier, buyers should focus on four key factors:

Origin + Actual Availability + Freight + Delivery Certainty

Planning Your Next Bitumen Shipment?

If you are sourcing bitumen for an African market, send me a direct message with your destination country, preferred packaging, approximate volume and required delivery window.

At Infinity Galaxy, I can help assess which supply origins and shipping routes are commercially negotiable and operationally workable under current market conditions.

Milad Ahmadi
Africa Market Specialist-Infinity Galaxy