LPG prices go through the roof, hit Rs630 per kg against official Rs294 rate

LPG has reached Rs630 per kg in Pakistan’s open market, more than double OGRA’s November notified rate of Rs294 per kg, Profit by Pakistan Today reported. Company-run franchises were charging up to Rs400 per kg, while the official price of an 11.8kg cylinder rose by Rs173 to Rs3,470. OGRA attributed its increase to a 6.47% rise in Saudi Aramco’s contract price, partly offset by a 0.12% decline in the average dollar rate.

The report linked the much higher market prices to supply constraints, including the closure of the Iranian border. An LPG distributors’ representative said about 70% of national supply came from Iran, while marketing companies warned they could stop operations from November 16 over a proposed policy they say was drafted without private-sector input. The association also said Sui Southern Gas Company controls the ProGas terminal at Port Qasim and had last imported LPG around seven months ago.