Singapore bunker sales in February fall

Singapore bunker sales in February fall

Singapore, 14 March (Argus) — Bunker sales in Singapore in February totalled 3.5mn t, down sharply by 532,000t from the previous month and down by 15pc from a year earlier.

This was the lowest monthly total in at least 14 months, according to data from the city state's Maritime and Port Authority (MPA). The MPA has only provided monthly data from January 2021 onwards.

The fall in consumption is mainly the result of February being a shorter month, totalling 28 days, but also because of more competitive prices in other Asian ports, such as South Korea, China and Japan.

"South Korea especially has been very competitive on VLSFO, pulling demand away from Singapore", said one local trader.

The port sold 2.29mn t of very-low sulphur fuel oil (VLSFO) in February, down from 2.56mn t in January.

Bunker prices in China have also been cheaper, because of bad weather, Covid-19 outbreaks and weaker demand that translated into selling pressure.

"High cargo and ex-wharf premiums are also not helping Singapore", said another trader. "The low February number spooked everyone but nobody's surprised."

Sales of high-sulphur fuel oil (HSFO) reached 924,000t, down from 1.12mn t the previous month. It was the first time since September last year that HSFO sales