Morocco Has Phosphate, but Lacks Sulfur

The problem has not disappeared with the first signs of a recovery in maritime traffic in the Gulf. In an analysis published Sunday, RFI observes that the sulfur market remains constrained after six months of conflict in the Middle East.

Sulfur is an essential link in the phosphate industry. It is transformed into sulfuric acid, which is then used to produce phosphoric acid from the rock extracted in Morocco. Without sufficient supplies, having immense phosphate reserves is therefore not enough to keep fertilizer production lines operating at full capacity.

The shock was considerable. According to BC Insight, the disruptions caused by the conflict had led, by mid-July, to an estimated loss of around 2.3 million tonnes of sulfur production. Monthly exports had fallen by more than one million tonnes since March, while prices had risen from around 500 dollars per tonne before the crisis to 1,100–1,200 dollars at the end of June.

On Bladi.net : Strait of Ormuz: The blockade that threatens to paralyze Moroccan phosphates

Morocco is particularly exposed. In 2025, more than half of its sulfur imports came from the Middle East, according to Argus Media. As early as April, OCP had brought forward maintenance operations that could affect up to 30% of its production capacity in the second quarter.

OCP Had to Adapt Its Production

The pressure subsequently became apparent in the plants. Argus reported in July that OCP had operated at around 50% of its capacity in June, mainly because of the sulfur shortage. This level concerned that specific period and does not mean that the group is still operating at that rate today.

OCP had anticipated part of the shock. In its first-quarter results, the group explained that it had built up sulfur stocks before prices surged, ensuring coverage through the end of July. It had also changed its production mix by favoring TSP, a fertilizer that requires less sulfur per tonne produced. OCP at the time referred to a “particularly tight” sulfur market and concerns about continuity of supply.

The group had already reorganized its production lines to limit its dependence on raw materials from the Gulf. It is also working on pyrite and pyrrhotite recovery projects, which are scheduled to come on stream from 2027 in order to structurally reduce its need for imported sulfur.

On Bladi.net : article 122624

The pressure does not affect Morocco alone. ICIS estimates that sulfur availability remains the main constraint on global phosphate fertilizer production today. Nearly half of the world’s seaborne sulfur exports had been affected by disruptions in the Strait of Hormuz, forcing several producers to reduce their activity.

At the beginning of September, high sulfur prices were also continuing to weigh on the decisions of Chinese producers. S&P Global notes that the return of Chinese DAP and MAP exports remains uncertain, with sulfur costs among the main obstacles to a normal recovery.

This scarcity places Morocco in a paradoxical situation. The Kingdom controls most of the world’s phosphate reserves, and OCP is one of the dominant players in the international fertilizer market, but an essential part of its production depends on an imported raw material directly exposed to geopolitical crises.

The pressure is all the greater because Moroccan fertilizers regained access to the US market this year and global demand remains strong. For OCP, the challenge is therefore no longer merely to have abundant phosphate, but to secure enough sulfur to be able to transform it.