TORONTO/NEW DELHI: India is weighing a proposal to curb sulphur exports after industry groups raised concerns over rising prices and supply disruptions linked to reduced imports from the Middle East, according to sources familiar with the matter.
Any restrictions could push global sulphur prices higher, as supplies from the region are already under strain due to the Iran conflict, while China is also expected to limit sulphuric acid exports starting next month.
“Sulphur supplies are tightening due to falling imports from the Middle East,” a senior government official with knowledge of the proposed restrictions told Reuters. “Allowing exports could further pressure availability, so discussions are under way on whether exports should be limited.”
Sulphur is a key input in fertiliser production, including ammonium sulphate and single super phosphate, both widely used in India.
The country relies on imports for more than half of its annual sulphur needs—around 2 million metric tons—with nearly half sourced from the Middle East.
At the same time, India exports roughly 800,000 tons of sulphur each year, with over 90% shipped to China.
Industry groups have urged the government to impose a ban on exports, according to a company executive aware of the discussions, who declined to be named due to the sensitivity of the issue.
A government spokesperson did not respond to a Reuters request for comment.
Authorities have already instructed oil refineries responsible for most domestic sulphur production—to ensure sufficient supply to local fertiliser manufacturers.
The Middle East contributed about a quarter of global sulphur production last year, totaling 83.87 million metric tons, according to the U.S. Geological Survey. However, shipments through the Strait of Hormuz have been heavily disrupted since the U.S.-Israeli attacks on Iran began on February 28.
The shortage is also affecting the mining sector, where sulphuric acid is used in metal extraction processes such as leaching.
Nickel producers in Indonesia, along with some copper miners in Chile and the Democratic Republic of Congo, may face higher costs as competition for sulphuric acid intensifies.
