Updated Nov 26, 2022 16:58

Sulphur Market in Chile

Market Overview
The Chilean sulphur market skyrocketed to $ in , growing by % against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). In general, consumption showed a relatively flat trend pattern. Over the period under review, the market attained the maximum level at $ in 2014; however, from 2015 to , consumption remained at a lower figure.

In value terms, sulphur production soared to $ in estimated in export price. Over the period under review, production recorded significant growth. As a result, production attained the peak level and is likely to continue growth in the immediate term.


Consumption
In , approx. tons of sulphur were consumed in Chile; which is down by -% compared with the previous year's figure. In general, consumption, however, continues to indicate a relatively flat trend pattern. Over the period under review, consumption reached the maximum volume at tons in 2014; however, from 2015 to , consumption remained at a lower figure.

The value of the sulphur market in Chile contracted modestly to $ in , falling by -% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). Overall, consumption, however, saw a relatively flat trend pattern. Over the period under review, the market reached the maximum level at $ in 2014; however, from 2015 to , consumption failed to regain momentum.


Market Forecast
The sulphur market is expected to start a downward consumption trend over the next eight years. The performance of the market is forecast to decrease slightly, with an anticipated CAGR of -% for the eight-year period from to , which is projected to depress the market volume to tons by the end of .

In value terms, the market is forecast to contract with an anticipated CAGR of -% for the period from to , which is projected to bring the market value to $ (in nominal prices) by the end of .


Market Structure
Over the period under review, the share of imports in terms of total sulphur consumption in Chile was relatively small in physical terms, fluctuating under an % figure. In value terms the share of imports also stood at a low figure, which means that the Chile sulphur market is largely supplied by domestic manufacturers. In , the share of imports in total consumption accounted for % in value terms and % in physical terms. The share of imports decreased moderately (- percentage point) over the period under review.


Trade Balance
Chile remains a net importer of sulphur; in physical and value terms, imports consistently exceeded exports from 2007 to . In , there was a significant trade deficit of tons, which was equal to $. This tangible trade deficit reflects the fact that the market remains dependent on imports, which is likely to continue in the medium term.