Israel’s May base oil imports stay low

Israel’s base oils imports stayed low in May amid a slump in shipments from Europe.

Base oil imports of 12,910 kilolitres (11,440t) in May recovered from 9,670kl the previous month, government data showed.

The volume still fell from year-earlier levels for a fifth straight month.

Total imports of 51,000kl in the first five months of the year were down 66pc from 150,640kl during the same period last year.

The volume was the lowest for that period since 2018.

Israel’s base oil imports have fallen sharply this year following the implementation of taxes on base oils and lubricants from late last year.

Importers faced additional pressure during the second quarter of the year from increasingly tight availability from Europe.

Extended plant maintenance in Italy and a drop in shipments from Russia curbed the availability of surplus European supplies available for export.

Prices for any supplies that were available were at unusually high levels.

Shipments from Spain, Italy and Greece combined accounted for less than 4pc of Israel’s total imports in May. The share was down from more typical levels of around 20pc over the past year.

Importers instead secured a large cargo of Egyptian origin. The 4,210kl shipment was the first from that market since first-half 2020 and the largest in more than four years.

Egypt has been an infrequent base oils exporter in recent years.

Imports from the UAE also rose sharply to a five-month high of more than 2,900kl.