MACHINERY LUBRICATION- INDIA NOVEMBER-DECEMBER 2019 | Page 38

BASE OIL REPORT BASE OIL REPORT Indian government is focusing on increased use of bio-fuels and raising domestic crude oil and gas production to reduce imports. India needs to bring down its oil import dependence from 77 per cent in 2013-14, to 67 per cent by 2022. But with consumption growing at a brisk pace and domestic output remaining stagnant, India's oil import dependence has risen from 82.9 per cent in 2017-18, to 83.7 per cent in 2018-19. For the current fiscal, it projected crude oil imports to rise to 233 million tones and foreign exchange spending on it to marginally increase to USD 112.7 billion. The Indian domestic market Korean origin Group II plus N-60–70/150/500 prices at the current level is marginally up for lighter grades and heavier grades. As per conversation with domestic importers and traders prices for N – 70/ N- 150/ N - 500 grades and at the current level are quoted in the range of Rs. 41.55 – 42.10/42.55 – 43.05/48.50 – 48.90 per liter in bulk plus 18% GST as applicable. Discounts being offered for sizeable quantity. The above mentioned prices are offered by a manufacturer who also offers the grades in the domestic market, while another importer trader is offering the grades cheaper by Rs.0.30 – 0.35 per liter on basic prices. Light Liquid Paraffin (IP) is priced at Rs.43.50 – 43.65 per liter in bulk and Heavy Liquid paraffin (IP) is Rs.50.60 – 50.75 per liter in bulk respectively plus Month wise import of Base Oil in India GST as applicable. In the month of September 2019, India imported 287402 MT of Base Oil, India imported the huge quantum in small shipments on different ports like 179461 MT (62%) into Mumbai, 29210 MT (10%) into JNPT, 25579 MT (9%) into Chennai, 23530 MT (8%) into Pipavav, 11914 MT (4%) into Hazira, 9364 MT (3%) into Mundra, 5054 MT (2%) into Kandla, 2888 MT (1%) into Kolkata and 402 MT into Other Ports. Dhiren Shah (Editor – In – Chief of Petrosil Group) E-mail- [email protected] Origin wise Base Oil import to India, Country and %- September 2019 Base Oil Group I & Group II CFR India prices:- Group I - SN 500 Iran Origin Base Oil CFR India Prices September 2019 USD 620 – 630 PMT October 2019 USD 620 – 635 PMT November 2019 USD 605 – 615 PMT Since September 2019, prices have decrease by USD 15 PMT (2%) in November 2019. Month 36 | November - December 2019 | Napthenic Base Oil HYGOLD L 500 US Origin CFR India Prices USD 695 – 705 PMT USD 695 – 705 PMT USD 680 - 690 PMT Since September 2019, prices have fall down by USD 15 PMT (2%) in November 2019. www.machinerylubricationindia.com N- 70 South Korea Rubber Process Oil Origin Base Oil CFR (Aromatic Extract) (Drums) India Prices Iran Origin CFR India Prices USD 625 - 635 PMT USD 360 – 365 PMT USD 625 - 635 PMT USD 360 - 365 PMT USD 610 - 620 PMT USD 345 - 350 PMT Since September 2019, Since September 2019, prices prices have decrease by have dipped down by USD 15 USD 15 PMT (2%) in PMT (4%) in November 2019. November 2019.