Thailand’s Oct supply exceeds demand

Thailand’s base oils supply exceeded demand in October for the first time in three months as a drop in exports outweighed firmer domestic demand.

Base oils supply, or production and imports combined, came to 71,000 kilolitres (63,000t) in October, government data showed. The volume was similar to the previous month.

Supply stayed lower than usual amid lower domestic base oils output and a dip in imports from South Korea.

Total demand, or domestic consumption and base oils exports combined, came to less than 68,500kl in October.

The volume fell from more than 83,000kl in September to a three-month low.

Demand fell amid a slowdown in exports to markets like China and the Mideast Gulf.

The steeper drop in demand left Thailand with a supply surplus of close to 3,000kl in October.

The surplus contrasted with a shortfall of more than 11,500kl in August and in September.