Iwatani has started to negotiate with users to raise the price of helium by 15% for its domestic distribution with effect from October. Taiyo Nippon Sanso and Air Water are also preparing to revise their price of helium.

Regarding the procurement of helium, as we reported before, the transportation route was inevitably changed due to the Saudi Arabian-led embargo of Qatar and the consequent increase in the transportation cost to secure transportation means. Furthermore, the other supply source of the US announced to raise the price of BLM crude helium to $119/f3 up over 11% comparing with the previous year with effect from October 2017. Iwatani dared to implement the price revision for the reason that it is inevitable to shift on to sales prices in order to keep supplying helium constantly.

In China and India which depend highly on helium of Qatar origin, they say that the market price of helium has already risen by 30% to 50%, and Iwatani’s negotiations will be made in an appropriate response to the market conditions.

Taiyo Nippon Sanso and Air Water say that they also have no other way but revise their prices from early autumn, and are considering revision now. Air Liquide Japan at the moment has no plan to raise its price but intends to respond keeping an eye on the situation.