Weekly Lubricant & Chemical Report: Official Completion of Monsoon and Hope for More Exports

On Monday, October 3, the oil and energy markets in the world started to grow, so that only on the same Monday the prices grew by about 5%.

Meanwhile, fuel price conditions in the Persian Gulf and Singapore continued to be almost stable and slightly reduced, adding to the confusion of the market. 

Today, October 5, the 33rd meeting of OPEC will be held, and considering that OPEC will make a definite decision to reduce supply, it seems that we should see a further increase in oil prices in the energy markets from tomorrow. But whether this price can remain high after passing 92 dollars, there is still a lot of doubt.

In Iran, during the past weeks, there was a competition for the purchase of raw materials for the production of bitumen and various products up to 40% of the base price, which shows the high demand in the market. But the fact that this amount of competition can continue depends entirely on the trend of oil prices.

In Iran, during the past week, the price of recycled base oil has been around $840-850 FOB Bandar Abbas, and on the other hand, the price of caustic soda in Iran has increased to around $700-720 FOB Bandar Abbas, and the price of paraffin wax is also around 1150-1200 dollars.

The change in IOCL prices on October 15 will have a serious impact on the supply conditions in Iran, and it remains to be seen what IOCL’s next decision will be, because on October 1, IOCL did not reduce its prices to the amount it had announced, and it seems that this do not apply the amount you want to reduce.

According to the official announcement of the Indian government, the monsoon has ended in India and we have to wait for a lot of demand from the Indian side of the market.

China Caustic Soda Market Condition

China’s caustic soda market prices were strong and rising and in the main production area of Shandong caustic soda, most enterprises have a good mentality of the market condition.

This article was prepared by Mozhdeh Darbandizadeh, the account manager of Infinity Galaxy (www.infinitygalaxy.org).