In November 2025, the market for Sulphuric Acid in India witnessed a sharp price increase — a trend that has grabbed the attention of manufacturers, buyers, and analysts alike. According to a recent report, prices jumped by 5.08% during the third week of November. This surge was not an isolated incident; it reflects a broader shift in supply-demand dynamics, downstream demand pressures, and raw-material constraints.
Below, we explore why Sulphuric Acid prices rise so quickly, what triggered the rise, and what this means for manufacturers and end-users — especially players like Maruti Fine Chemicals operating among sulphuric acid manufacturers in Gujarat.
Why Was the Supply of Sulphuric Acid So Tight in November 2025?
One of the main triggers was a severe supply tightness. During the noted period, prompt availability of sulphuric acid was limited. Domestic stocks and merchant inventories were lean across markets, and many smelters and refineries had no extra acid for immediate dispatch.
At the same time, feedstock sulphur — the raw material for manufacturing sulphuric acid — was itself under pressure. Sulphur prices had already begun rising in Asia during late October and early November, driven by limited global sulphur supply, maintenance shutdowns at refineries, and logistical bottlenecks.
Because of these constraints, acid manufacturers had to scramble to arrange timely sulphur supply, which increased their production costs and constrained output — thus reducing the volume available in the merchant market.
How Did Fertilizer Sector Restocking Increase Demand in November 2025?
The demand side played an equally important role. In November 2025, there was an urgent pull from the fertilizer sector. Reports indicate that inventories at many fertilizer manufacturing units were depleted, prompting aggressive restocking of sulphuric acid to ensure uninterrupted production of phosphate fertilizers.
India — being an agriculture-driven economy — sees large seasonal fluctuations in demand for fertilizers. As the fertilizer sector ramps up production to meet upcoming sowing seasons or to rebuild depleted inventory, demand for sulphuric acid naturally spikes. Since acid availability was already tight, this surge in demand pushed prices upwards.
Moreover, demand was not limited to fertilizers; agrochemical, mineral processing, and industrial sectors also showed increased procurement activity — compounding the pressure on available supply.
Did Stable Input Costs and Energy Prices Prevent the Sulphuric acid Price Rise in November 2025?
Unlike past price spikes which correlated with sharp rises in energy or feedstock costs, this time the cost inputs remained relatively stable. That meant acid producers did not have a strong cost-push justification to hike prices; instead, the increase was driven primarily by supply-demand imbalance and immediate availability constraints.
What It Means for Producers — Especially sulphuric acid manufacturers in gujarat ?
For sulphuric acid manufacturers in Gujarat and other parts of India, this price rise can bring both opportunities and challenges.
Advantage: Better Realization & Profit Margins
Companies like Maruti Fine Chemicals may see improved realization per ton, thanks to higher market prices. With demand high and supply tight, the negotiating power shifts in favor of producers. Those with stable feedstock supply and efficient operations stand to benefit the most.
Challenge: Raw Material Supply & Inventory Management
However, the tight supply of raw sulphur and the need to manage inventories carefully means producers must secure sulphur feedstock earlier, plan production schedules, and ensure stable energy supply. Producers dependent on spot feedstock purchases may face volatility and margin pressure if sulphur supply becomes unstable again.
Additionally, for acid manufacturers in Gujarat — where many fertilizer and chemical plants rely on acid — maintenance of supply reliability becomes critical; failure to deliver can impact long-term buyer relationships.
Demand Pressure from Fertilizer Sector — Potential for Repeat Spikes
Given that fertilizer demand remains cyclical, sulphuric acid manufacturers must anticipate future demand waves and align production accordingly. If demand surges again, price spikes could repeat — offering new revenue opportunities, but requiring operational readiness.
Broader Market Context & Long-Term Outlook
The Indian sulphuric acid market is part of a larger global industry. According to market analyses, the demand for sulphuric acid globally is driven by fertilizers, chemical manufacturing, metal processing, and newer applications like battery manufacturing and mining.
In India specifically, the sulphuric acid market size is expected to grow steadily through 2030, as government focus on agriculture, fertilizer production, and industrial growth continues.
Still, the volatility seen in November 2025 underlines a structural challenge: when supply becomes constrained — due to raw-material scarcity, refinery maintenance, or logistical issues — prices can spike sharply, even if overall demand and production remain stable.
FAQs :
Q1: Why did Sulphuric Acid prices jump by 5.08% in November 2025?
Because of a sudden supply shortage — limited prompt availability and tight merchant stock — combined with strong downstream demand from fertilizer and chemical manufacturers that urgently needed acid for production.
Q2: Was the price rise due to increased production costs ?
No — during this period, feedstock sulphur prices and energy costs were relatively stable. The rise was driven mainly by supply-demand imbalance, not cost-push factors.
Q3: Which sectors contributed most to the demand for sulphuric acid in November?
The fertilizer sector led demand , followed by agrochemical, industrial chemicals, and downstream industries requiring acid.
Q4: What does this price rise mean for acid manufacturers, especially those based in Gujarat?
Manufacturers — including sulphuric acid manufacturers in Gujarat — may benefit from higher prices and better margins. But they need to ensure stable raw-material supply, manage inventory carefully, and be ready for demand cycles.
Q5: Is the price spike likely to continue, or will prices stabilize soon?
It depends. If supply improves and downstream demand normalizes, prices may stabilize. But if demand remains high and supply remains tight, volatility may continue.
Conclusion :
The November 2025 surge in Sulphuric Acid prices was driven less by cost pressures and more by a classic supply-demand imbalance: limited prompt availability, tight feedstock conditions, and a sharp rise in downstream demand — especially from the fertilizer industry.
At a broader level, the spike signals a structural vulnerability: when supply chains for raw materials tighten, even a stable demand environment can trigger sharp price hikes. As India’s industrial and agricultural sectors continue to expand, stakeholders must adapt — by securing feedstock contracts, maintaining buffer inventories, and monitoring downstream demand.
