India's Sept naphtha exports likely to rise 18% as domestic demand tapers and availability increases

02-Sep-13

India's naphtha exports in September could rise about 18% from the previous month to around 750,000 tons as domestic demand tapers and availability increases, as per Reuters. The higher volumes from India come at a bad time for regional naphtha sellers who are struggling with ample supplies, with a surge in cargoes arriving next month from Europe and the Mediterranean. Spot naphtha prices have been significantly impacted as a result of the supply situation. South Korea's YNCC had on Aug. 27 bought 100,000 tons of naphtha at parity to Japan quotes on a cost-and-freight (C&F) basis, the lowest price paid by a South Korean buyer in about a year. Supplies in India were also tighter in August, which could lead to export volumes for the month hitting a four-month low, Reuters data showed.