Phosphoric acid prices are stable globally, as of mid-week August, supported by diversified sourcing, consistent demand from South Asia, and hedging sources against geopolitical risks. Phosphoric acid supply remains strong despite margin pressure from increased freight and an increase in sulphur cost also puts pressure against profits. Buyers prioritize supply reliability and product quality. Although formal Phosphoric Acid pricing is steady for fertilizer, food, and industrial applications, the rest of the market pricing is likely firm.
The phosphoric acid market in India appears to show price stability despite lower year-to-date import volumes and shifting sourcing patterns on a global basis. The month of August had 238,000 tonnes of solution-grade phosphoric acid landed on Indian ports, while just 11,000 tonnes is forecast for September. Total imports are lagging behind the prior year—2.30 million tons (2023) compared to 2.66 million tonnes (2024)—but the price curve has remained stable. The import sourcing map has a geographical mosaic with China leading the volume for August to September at 67,000 tonnes, followed by Senegal (64,000 t), Morocco (53,000t), Jordan (45,000t), and Tunisia (19,000t). This will further diversify sourcing and bound some of the price volatility as buyers adopt hedging strategies against nationalistic geopolitical and logistical risk. Morocco's aggressive global outreach—213,000 tonnes exported during August—demonstrates its growing presence, while India is still a predominant buyer among increasing competition.
Exports of phosphoric acid in its pure form from China have remained steady, however producers face a squeeze on margins as freight rates and sulphur costs continue to rise. Both food grade and industrial grade phosphoric has continued to flow, but the tightening of margins has left traders with cautious optimism. Bangladesh’s recent 20,000 tonne tender provides another piece to the demand picture in South Asia providing additional interest in the region without pushing prices higher.
As we enter Q4, Indian buyers are jumping back in to consider not just price but reliability and the ability to adapt and adjust supply chain plans. While medium term demand appears fairly steady and diverse suppliers will keep pricing for phosphoric acid from declining (the fertilizer and chemical markets are feeling the pressure of uncertainty), phosphoric acid pricing is holding steady in the long term.
As per the ChemAnalyst anticipation, Global phosphoric acid prices are expected to remain stable in the upcoming sessions, anchored by diversified sourcing and steady demand from India and South Asia. Despite lower import volumes and rising input costs, supply chain adaptability and strategic hedging are cushioning volatility. Morocco’s export surge and China’s consistent output signal resilience, keeping long-term pricing firm amid fragmented trade flows and geopolitical uncertainty.
