Section: CRUSU Industry News

CRU’s Phosphates+Potash Expoconference was held in Paris in mid-April, with the Iran crisis uppermost in everyone’s mind. Margins are under pressure, sulphur has become a strategic constraint, and the phosphates investment pipeline is thin. CRU Principal Consultant Humphrey Knight examined the fallout from the closure of the Strait of Hormuz, noting that fertilizers have been hit harder than most bulk commodities. A large share of exportable sulphur and traded urea normally originates in, or passes through, Gulf producers. The effective closure of the strait has squeezed the traded part of these markets, where international prices are set, and pushed benchmarks up sharply. The global phosphate market is structurally tight, and the combination of Chinese export policy and Middle East logistics has pushed the traded segment into a much more fragile state.

Several battery material nickel miners in Indonesia have reportedly trimmed output by at least 10% due to a shortage of and higher prices for sulphur caused by supply disruptions arising from war in the Middle East. Sulphuric acid is used to process nickel ore into mixed hydroxide precipitate (MHP), a feedstock used in electric vehicle (EV) batteries.

Topsoe has entered into an agreement with Texas-based sustainable fuels and chemicals technology company BioVeritas to unlock advantaged feedstocks for existing infrastructure. The agreement will enable fuel producers to license Topsoe’s HydroFlex® technology alongside the Bio-Veritas Process™ to produce renewable fuels from second-generation feedstocks, such as woody biomass, corn stover, wheat straw, and similar waste and residual biomass. The BioVeritas Process™ converts second-generation feedstocks to advantaged intermediates, called KEY-Tones™ that can be processed by Topsoe’s HydroFlex® technology to unlock production of renewable fuels using second-generation feedstock.

InfraLeuna GmbH, the owner and operator of the Leuna chemical site, has unveiled a new state-of-the-art heating terminal as part of a new central infrastructure facility established at the Leuna chemical site to address the changing demands of the chemical industry’s supply chains.

Russia has again extended its ban on the export of industrial sulphur, with the latest decree prolonging the restriction until 30 June 2026. The announcement was made via the government’s press service on 31 March. This decision is aimed at stabilising the supply of raw materials for the domestic market to support the production of phosphate-based fertilizers. The restriction covers the export of liquid, granulated, and lump sulphur.

India's cabinet approved a proposal to spend $4.49 billion to subsidise phosphate and potassium fertilizers for the Kharif 2026 season, according to an 8 April government statement. The allocation represents an increase of approximately $460 million over the Kharif 2025 season budget, reflecting adjustments for recent trends in international prices of fertilizers and inputs including urea, DAP, MOP, and sulphur.

Metso has signed a major agreement with Southern Peru Copper Corporation, one of the largest copper producers in the world, for the supply of copper solvent extraction and electrowinning (SX/EW) technology to the company’s Tia Maria project in Cocachacra, Peru. The new plant will produce 120,000 tons of high-purity copper cathodes per year.

Morocco's OCP is bringing forward its maintenance schedule and expects a reduction of up to 30% in output for the second quarter of 2026, the company said 2 April, with some plants beginning maintenance next week.

Turkey has prohibited exports of sulphur under GTP 2503 from 7 April through the second and third quarters of 2026, according to a 6 April communication from the Ministry of Commerce. The measure does not apply to customs declarations lodged before 7 April. The restriction followed a request from the Ministry of Agriculture and Forestry, which said sulphur prices had risen by 35-40% and that supply had tightened for fertilizer production, including AS, DAP and other compound fertilizers. The General Directorate of Exports will review any exceptional cases arising during implementation.

India is said to be considering a proposal to restrict sulphur exports after industry lobby groups raised concerns about soaring prices and disruption to supplies from the Gulf, according to local news reports. Export restrictions could add to upward pressure on global sulphur prices, as supplies from the Middle East are disrupted by the Iran war and with China also set to restrict sulphuric acid exports from next month. India exported 800,000 tonnes of sulphur in 2025.