Pakistan has recently announced revised petroleum prices, which are applicable on June 9, 2023, until June 15, 2023.
The government’s decision to reduce prices comes in response to falling oil prices in international markets and in anticipation of the expected arrival of cheaper Russian oil. These revised prices aim to provide maximum relief to consumers and alleviate financial burdens.
READ MORE: Pakistan Updates Petroleum Prices Ahead of Federal Budget 2023-24
As of June 9, 2023, the new prices for petroleum products in Pakistan are as follows:
Petrol: Rs262 per liter
High-Speed Diesel: Rs253 per liter
Kerosene: Rs164.07 per liter
Light Diesel Oil: Rs147.68 per liter
The revised prices were introduced on May 31, 2023, and took effect from June 01, 2023. The government’s decision aligns with the downward trend in global petroleum product prices, which analysts had anticipated would lead to a significant decrease in prices. By passing on the benefits of reduced prices to the public, the government aims to provide relief and ease financial burdens.
READ MORE: Petroleum Prices Surge by 45%, Driving Inflation in Pakistan
The recent decline in international oil prices, coupled with the stability of the Pakistani rupee against the dollar over the past 15 days, has created favorable conditions for the government to adjust petroleum prices. Experts in the industry had predicted a considerable reduction in petroleum prices during the first half of June 2023.
While the current reduction in prices is expected to bring relief to consumers and various sectors of the economy, experts suggest that the government could have implemented an even larger decrease, potentially up to Rs100, following the arrival of Russian oil. A vessel carrying Russian oil was scheduled to dock at Oman Port by the end of the previous month, with small boats set to transport the oil to the Pakistani coast during the first week of June 2023.
READ MORE: Pakistan petroleum sales decline by 47% in April 2023
The reduction in petroleum prices is anticipated to have a positive impact on various sectors of the economy. With transportation costs expected to decrease, industries reliant on petroleum products, such as manufacturing and agriculture, are poised to benefit from lower prices. This, in turn, will contribute to economic growth and stability.
However, it is important to note that despite the overall decrease in prices, the government has decided to maintain the price of kerosene unchanged. Kerosene is widely used for cooking and lighting purposes, particularly in rural areas. Keeping its price stable aims to ensure affordable access to this essential commodity, reflecting the government’s commitment to addressing the needs of the rural population.
READ MORE: Attock Refinery forced to shut down due to smuggling of petroleum products
Overall, the decision to lower petroleum prices in Pakistan for the first half of June 2023 is expected to provide relief to consumers and promote growth in various sectors of the economy. By passing on the benefits of reduced international oil prices to the public, the government demonstrates its commitment to easing financial burdens and supporting economic stability.
