LPG Prices Drop Rs. 40 Per KG as Supply From Iran Resumes

LPG prices in Pakistan have dropped by Rs. 30 to 40 per kg over the last two days after supply from Iran temporarily resumed, and another Rs. 30 per kg cut is expected in the next two to three days.

The senior vice chairman of the LPG Distribution Association said the market rate is falling gradually, but warned that the risk of an LPG crisis this winter has not gone away.

Only Pre-October 16 Cargo Allowed In

According to the association, only LPG bowsers that were loaded at Iranian refineries and reached the Pakistan-Iran border before October 16 have been allowed to enter Pakistan.

The quantity loaded until October 16 is around 8,000 to 9,000 tonnes, which will meet the country’s demand for only three days.

The association said this temporary supply will not end the crisis, which comes after prices eased with the arrival of a new shipment earlier this week.

Association Seeks 6-Month EIF Exemption

The All Pakistan LPG Distribution Association has proposed that the federal government grant a six-month exemption from the Electronic Import Form (EIF) requirement for LPG imports from Iran.

It has also informed the Prime Minister’s Adviser Haroon Akhtar that the old mechanism should be restored for six months to meet winter demand.

The association warned that if supply from Iran is not restored, LPG could reach Rs. 1,000 per kg in winter, after warnings that the cylinder price may exceed Rs. 10,000.