This week, bitumen prices in East Africa declined due to weakened demand for Iranian bulk bitumen, lower feedstock costs, and the Iranian Rial’s depreciation. Freight rates remained stable across key ports, while regional construction activity slowed, particularly in Kenya and Uganda, due to the Chinese Lunar New Year holiday. In the Democratic Republic of Congo, ongoing conflict halted at least one major project. Meanwhile, South Africa saw improved road work conditions after weeks of rainfall, though rising Bahraini prices could impact market competitiveness.
East Africa’s Bitumen Slump
Regional bitumen import prices decreased due to the following reasons: Weak demand for Iranian bulk bitumen, lower prices of bulk and drum Iran bitumen, shrinking vacuum bottom (VB) feedstock prices in Iran, and the Iranian Rial getting weaker against the US dollar.
The freight rates of drummed bitumen from Bandar Abbas/ Jebel Ali (UAE) to Mombasa, Kenya, Dar es Salaam, Tanzania, and the Horn of Africa port of Djibouti stayed the same at $105-135 per ton.
Conflict Halts Bitumen Project in Eastern DRC
In DRC, regional suppliers declared that at least one project in the Goma area in the eastern part of this country has been blocked after harsh fighting with the FARDC armed forces.
Lunar New Year Slows Kenya/Uganda Projects
Chinese Lunar New Year holiday decreased project activity in Kenya, Uganda, and other East African countries since Chinese constructors are heavily active in this region. Generally, Kenya and Uganda both had a slow start in 2025.
South Africa Gains, Bahraini Prices Rise
Domestic price assessments were steady. Dry and warm weather after recent weeks of frequent rainfall helped lift rates of road project work in South Africa in late January.
After holding values steady for several weeks, Bahraini state-owned refinery producer Bapco raised its bulk bitumen price, which reduced Bahraini export competitiveness versus other Mideast and Pakistani flows.
Stay up-to-date with our weekly updates to stay ahead of market shifts. For in-depth insights or any questions, feel free to contact our team today.
