LPG prices surge as Pakistan-Iran border closures disrupt imports

LPG prices have climbed sharply in Pakistan after the Gabd-Rimdan and Taftan crossings with Iran closed on October 17, disrupting imports, Profit by Pakistan Today reported. The Pakistan LPG Association says about 7,000 metric tonnes are brought in daily from Iran, including more than 4,000 tonnes through Gabd-Rimdan; LPG tankers have been among vehicles stranded at the border.

Traders put the price of a 12kg cylinder at Rs7,000, up from Rs4,500 within days. Prices were reported at about Rs7,000 in Balochistan, Rs7,500 in Lahore and Rs8,200 in Skardu, while a Lahore resident said his per-kilogram cost had risen from Rs250 to between Rs500 and Rs600. The association’s chairman cautioned that supply constraints and prices could worsen as winter demand grows.

The closure has also held up more than 1,000 containers of Pakistani produce and rice bound for Iran, though Gabd-Rimdan reopened on Wednesday for exports of perishable goods. Bilateral trade was around $2.8 billion in fiscal 2023-24, and Iranian officials said discussions were taking place on restarting trade.