India’s lube demand fell in January, contrasting with signs of healthy availability of base oils supply.The divergence between supply and demand raised the prospect of adding to India’s surplus supplies.The country’s base oils supply already outpaced demand in each of the previous three months to December.More muted demand and healthy availability curbed blenders’ urgency to lock in additional supplies from overseas markets.The exception was for certain base oils grades whose domestic and overseas availability was tighter.Expectations of higher prices in the coming months also incentivized some buyers to procure additional supplies.India’s lube consumption of 324,000t in January fell from 330,000t the previous month and by 8pc from year-earlier levels, government data showed.The drop in consumption was likely to be temporary.It contrasted with a 5pc rise in the country’s lube demand in 2023 and expectations of steady growth this year.India’s central bank this month raised to 7pc its forecast for the country’s economic growth for the year to March 2025.The country’s automobile sales also showed signs of holding firm at the start of this year.But India’s lower lube consumption in January added to some signs of headwinds to the country’s growth.India’s core sector output extended its rise in December. But the pace of the increase was the slowest in fourteen months..India's Dec base oil supply exceeds demand.India's Dec base oils imports fall
