Weak demand and competition among suppliers has contributed to bring down Fujairah’s VLSFO price to discounts to other major Asian bunkering hubs.

PHOTO: Harbour craft in front of an oil tanker in Fujairah. Port of Fujairah

Fujairah has been pricing VLSFO competitively to other bunker hubs in recent weeks. The grade is currently offered at $579/mt, which means it is at rare discounts of $18/mt to Singapore and $29/mt to Zhoushan.

A source says that most suppliers are “very competitive with pricing” amid weak demand. Further, the entry of “some new suppliers” to the port’s bunker market has create a competitive field and incentivised several suppliers to offer the grade at discounts, the source adds.

Lead times of around 5-7 days are recommended for VLSFO in the port – virtually unchanged from last week.

By Tuhin Roy

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