LPG’s Aramco price surges to $ 1,003 per tonne


The international price (Saudi Aramco Contract Price) of liquefied petroleum gas (LPG) has surged by $ 25 to $ 1003 per ton for November 2012, raising local prices by Rs 3,000 to Rs 128,000 per ton.
This was stated by the chairman, All Pakistan LPG Distributors Association (APLDA) Abdul Hadi Khan here Wednesday. He said prices of Propane and Butain have been increased by $ 25 and $ 15 respectively.
He clarified that local producers and marketing companies have not so far enhanced prices of either locally produced or imported LPG in the country in accordance with Saudi Aramco price.
“This was wrong impression that LPG prices were increased on October 31, 2012 (Wednesday) in local market. Consumers should avoid to purchase LPG at artificially inflated prices”, he said and added that local producers are likely to raise their prices on November 3, 2012.
Hadi said local LPG prices were 20 percent lower in Pakistan compared to international price and therefore its import has been slowed down. But since winter has started, LPG demand is likely to surge by 50 to 60 percent in the country to reach between 1900 to 2100 tons per day, he noted.
He lamented that local producers have neither increased their production nor enhanced their production capacity, therefore, it will be difficult to meet domesic demand through locally produced LPG. He pointed out that local production was ranging between 1200 to 1300 tons per day.
Hadi anticipated that domestic price of LPG can be increased by Rs 3 per kilo in accordance with the rise in Saudi Aramco CP. Similarly, price of 11.8 kilo cylinder can be increased by Rs 35.50 and 45.4 kg cylinder by Rs 137.
He, however, suggested the local producers to avoid any increase in locally produced LPG in the interest of 50 million consumers and in the wake of rising prices, unemployment and on-going energy crisis so that this fuel should remain in the reach of poor men in remote hilly and less developed areas.


  1. LPG, unlike CNG or piped gas, is more user friendly fuel for all purposes, as domestic, commercial, industrial, particularly in the remote / hilly areas and therefore must be made available as an inexpensive fuel for the whole year round. There are more than twenty LPG marketing companies in the country. these companies need to be facilitated by respective govt agencies and at the same time be monitored to avoid any cartel like situation against the interest of consumers.

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