The price of diesel in Pakistan will be reduced by Rs 32 to Rs 363.
Petroleum Minister Ali Pervaiz Malik has announced a possible cut in high speed diesel (HSD) by Rs 30 to Rs 32 per liter in a major relief to the fuel prices for farmers and the transport sector.
Using current diesel prices at Rs 395.69 per litre, potential prices could be around Rs 363-365. Recent reporting also shows current rates of Rs 334.54 for petrol and Rs 395.69 for HSD.
Diesel is currently being sold at Rs 395.69 per litre, meaning a full reduction of Rs 32 will bring the price down to around Rs 363.69 per litre. During this time, the rate will be Rs 365.69 per liter with a deduction of Rs 30.
Possible relief came amid increasingly mixed signals from the petroleum market. While the government is mulling a substantial cut in diesel prices, initial calculations reportedly suggest that HSD may otherwise rise by Rs 4.30 per litre, bringing its price to around Rs 400 per litre.
Petrol, currently priced at Rs 334.54 per litre, may also face an increase of around Rs 2.30 to Rs 336.84 per liter if the government does not offset the impact through taxes. The conflicting calculations have put consumers, farmers and transport operators on alert ahead of the latest price decision.
After reviewing international market trends under the government’s daily fuel pricing mechanism, Ogra is expected to finalize the revised petroleum prices tonight for implementation from August 20. The current formula uses a seven-day average of international petroleum prices.
Ali Pervaiz Malik said that the government understands the economic hardships faced by the people and has already introduced targeted subsidies to provide relief. He also attributed the recent pressure on domestic fuel prices to the movement in global crude markets.
The proposed diesel cuts could be particularly important to farmers. At the current Rs 395.69 per litre, HSD is a major operating expense for tractors, agricultural machinery, transport and other farm-related activities. A reduction to Rs 363.69–365.69 will reduce the purchase price by Rs 30–32 per litre.
The post Big relief in diesel price in Pakistan is likely to drop by Rs 32 to Rs 363 appeared first on Daily Pakistan English News.
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