Petrol and diesel prices in Pakistan could see a decrease of Rs2 to Rs3 per litre starting November 1, 2024, reflecting the recent dip in global oil prices. This potential price adjustment aligns with the fortnightly fuel price revision implemented by the Pakistani government.Recent data indicates a slight drop in the international average prices of both petrol and high-speed diesel (HSD). Over the last 15 days, global petrol prices declined by approximately $1.5 per barrel, and HSD prices dropped by $2.5 per barrel. Officials predict that, based on existing tax rates and exchange rates, petrol prices in Pakistan may fall by Rs3 per litre, while diesel prices could see a reduction of Rs2.30 per litre.The average price for petrol on the international market has decreased from $77.5 per barrel to $76, while HSD rates dropped from $86.5 to $84 per barrel. Throughout this period, the import premium for petrol and diesel has remained steady at $8.7 and $5 per barrel, respectively.Currently, the ex-depot prices per litre in Pakistan stand at Rs247.03 for petrol and Rs251.29 for diesel. Within these prices, the government collects approximately Rs76 per litre in taxes, which includes a petroleum development levy of Rs60 and a customs duty of Rs16 per litre. Additionally, oil companies and dealers receive around Rs17 per litre through distribution and sales margins.This expected price reduction comes as a relief to consumers amid fluctuating fuel costs and demonstrates the impact of global market trends on local fuel prices.
Waseem Ahmad
October 29, 2024
