New Delhi: India’s diesel exports to Asia slumped 63% month-on-month in March as elevated competitors from Chinese language and South Korean suppliers eroded margins.
Indian refiners exported 61,000 barrels per day (bpd) of diesel in March to prospects in Asia, down from 163,000 bpd in February, based on power cargo tracker Vortexa. Exports to Europe, nevertheless, rose 6.5% to 214,000 bpd in March. No diesel was exported to the US. “Ample provides of diesel in Asia, particularly as a result of sturdy exports from South Korea and China, have eroded export margins to Asia. In the meantime, growing deliberate or unplanned refinery upkeep in Europe has led to rising import demand,” mentioned Serena Huang, analyst at Vortexa.
India’s month-to-month export volumes to Asia range extensively based mostly on margins out there on diesel, with shipments various from 11,000 bpd in April 2023 to 189,000 bpd in August. The common month-to-month diesel shipments to Asia in 2023-24 was 92,000 bpd. The diesel provides to Europe are extra secure, averaging 222,000 bpd in 2023-24. The exports have remained above 200,000 bpd in all however two months of the final fiscal 12 months.
In January, the volumes had dramatically fallen to 56,000 bpd after the Houthi assaults within the Purple Sea pressured ships to keep away from the Suez Canal and take the choice longer route through the Cape of Good Hope. The exports rapidly recovered in February. “On refined product exports, almost 380,000 bpd of cargoes that loaded from India and primarily headed to the US and Europe in March are being diverted by way of the Cape of Good Hope, because of the assaults,” mentioned Huang.
India’s total refined merchandise exports to Asia additionally fell 15% month-on-month to 332,000 bpd in March. Exports to Europe fell 4.5% to 319,000 bpd in March.
Because of the Purple Sea tensions, a few of the refined product shipments meant for Europe had been diverted to Asia in January. Refined product provides to Europe had fallen to 141,000 bpd in January whereas volumes to Asia had risen to 382 bpd.
 of diesel in March to customers in Asia, down from 163,000 bpd in February, according to energy cargo tracker Vortexa. Exports to Europe, however, rose 6.5% to 214,000 bpd in March. No diesel was exported to the US. "Ample supplies of diesel in Asia, especially due to strong exports from South Korea and China, have eroded export margins to Asia. Meanwhile, increasing planned or unplanned refinery maintenance in Europe has led to growing import demand," said Serena Huang, analyst at Vortexa.){kind=link}