India’s base oils supply exceeded demand for a second month in November and by the largest amount in more than two years.Total supply, or domestic base oils production and imports combined, rose to an eight-month high of almost 470,000t in November, government and customs data showed.Supply rose as base oils imports surged to a twenty-month high on the back of a rebound in shipments from South Korea and a resumption of arbitrage flows from the US.The country’s base oils and lube demand, or domestic consumption and exports combined, edged down in November to a seven-month low of close to 365,000t.The surplus of supply over demand rose in response to more than 100,000t.The volume rose from a surplus of less than 35,000t in October to the highest since mid-2021.The rise in India’s surplus base oils supply curbed blenders’ urgency to lock in more volumes at a time when refiners in markets like the US were seeking outlets for surplus shipments during the final months of the year.India’s growing surplus and plentiful overseas supply instead gave buyers more leverage to target lower prices to accept any additional volumes.India’s imported cargo prices for very-light grade base oils fell more sharply than regional gasoil prices in the last two months of 2023, reflecting the weaker supply-demand dynamics, ICIS data showed..India’s November base oils supply rises.India’s Nov lube demand holds firm
India’s base oils supply exceeded demand for a second month in November and by the largest amount in more than two years.Total supply, or domestic base oils production and imports combined, rose to an eight-month high of almost 470,000t in November, government and customs data showed.Supply rose as base oils imports surged to a twenty-month high on the back of a rebound in shipments from South Korea and a resumption of arbitrage flows from the US.The country’s base oils and lube demand, or domestic consumption and exports combined, edged down in November to a seven-month low of close to 365,000t.The surplus of supply over demand rose in response to more than 100,000t.The volume rose from a surplus of less than 35,000t in October to the highest since mid-2021.The rise in India’s surplus base oils supply curbed blenders’ urgency to lock in more volumes at a time when refiners in markets like the US were seeking outlets for surplus shipments during the final months of the year.India’s growing surplus and plentiful overseas supply instead gave buyers more leverage to target lower prices to accept any additional volumes.India’s imported cargo prices for very-light grade base oils fell more sharply than regional gasoil prices in the last two months of 2023, reflecting the weaker supply-demand dynamics, ICIS data showed..India’s November base oils supply rises.India’s Nov lube demand holds firm