Pakistan raises LPG prices by 35% for April

The Oil and Gas Regulatory Authority (OGRA) on Tuesday announced a 35% increase in liquefied petroleum gas (LPG) prices for April, driven by a surge in global market rates.

According to a notification, the price of LPG was set at PKR 304.15 per kilogram for April, up from PKR 225.84 per kilogram in March. The cost of an 11.8-kilogram domestic cylinder rose by PKR 924 to PKR 3,588.60, compared with PKR 2,664.88 in the previous month.

OGRA said the producer price of LPG — comprising 40% propane and 60% butane — was fixed at PKR 262,817.53 per tonne for April, up from PKR 184,537 per tonne in March. The revised price includes an excise duty of PKR 85 per tonne.

The producer price for an 11.8-kilogram cylinder was calculated at PKR 3,101.25, compared with PKR 2,177.54 in March. This amount includes a petroleum levy of PKR 4,669 per tonne and 18% general sales tax of PKR 40,091, up from PKR 26,552.94 a month earlier.

For consumers, an additional PKR 35,000 per tonne was added in marketing, distribution and transportation margins, along with 18% GST of PKR 6,300 per tonne on these margins.

As a result, the maximum consumer price was set at PKR 304,117.53 per tonne, or PKR 3,588.59 for an 11.8-kilogram cylinder in April, compared with PKR 225,837 per tonne, or PKR 2,664.88, in March.

The new prices will remain effective through April 30, the notification said.

OGRA attributed the increase to a 44% rise in Saudi Aramco contract prices, while noting that the average exchange rate of the U.S. dollar declined slightly by 0.11%.

Overall, LPG consumer prices rose by PKR 923.71 per 11.8-kilogram cylinder, or 34.66%, with a per-kilogram increase of PKR 78.28.