[SMM Analysis] Analysis of the Reasons for the Rise in Sulfur Prices in October

Analysis of Reasons for the Rise in Sulfur Prices in October

In the sulfur market, major global producers include the US, China, the UAE, and Russia. However, as countries like China and the US largely consume their own production, Russia and Middle Eastern nations serve as the primary suppliers.

Due to constraints on Russian sulfur production, mainstream Middle Eastern cargoes currently dominate the market. With phosphate fertiliser demand gradually being released in regions such as Indonesia, Brazil, and Africa, and the MHP project in Indonesia requiring sulfur stockpiling, multiple factors have contributed to traders gaining significant pricing power, leading to a continuous rise in sulfur prices. The current sulfur price (CIF Indonesia) has increased from an average of $335/mt in early October to an average of $380/mt, and sulfur prices are expected to have further upside room.