The ongoing war in the Middle East has made Pakistan sweat. Now the burden of inflation has increased on the people already living in poverty. The prices of Liquefied Petroleum Gas (LPG) have increased rapidly in Pakistan. The national average price of an 11.67 kg LPG cylinder has now reached Rs 3,900 to Rs 5,135, whereas earlier it was between Rs 3,150 to Rs 3,968.
Due to the ongoing US-Israel war in the Middle East, LPG prices have increased in the global market. The maximum impact of this increase has been seen in different cities of Punjab. Along with this, transportation costs have also increased.
Due to Eid and Nowruz holidays, there has also been a reduction in the daily import of 10,000-12,000 tonnes of LPG from Iran. Three ships carrying about 20,000 tonnes of LPG have arrived in Pakistan during March. At present there is 13-14 days of LPG stock left in the country. “There is 13-14 days’ stock in the country. It is expected that after the holidays, the supply of gas from the Iranian border will increase, which may lead to stability in demand and supply,” said M. Ali Haider, convenor of the LPG Standing Committee of the Federation of Pakistan Chambers of Commerce and Industry.
Pakistan requires about 2 million tonnes of LPG annually, of which 12 lakh tonnes is imported and 8 lakh tonnes is produced from local refineries. LPG import bill has declined by 4% in the first eight months of the current financial year. According to Pakistan Bureau of Statistics data, it has decreased from $725 million to $696 million.
The increased prices of LPG have had a direct impact on personal transportation. The fares of rickshaws, buses and mini buses running on LPG have increased. Due to this, people of low and middle income group are facing a lot of problems, who depend the most on these means. There may be some stability in prices if imports from Iran become normal again, but for now the instability in the Middle East is affecting fuel prices globally.