KARACHI: Prices of high-speed diesel (HSD) and petrol may fall significantly in the next fortnightly review following a drop in global crude oil prices, driven largely by the recent ceasefire between the US and Iran, industry sources said on Wednesday.
Initial estimates suggest HSD prices could decline by up to Rs100 per litre, while petrol may become cheaper by around Rs60 per litre.
The easing of tensions has reduced supply concerns and stabilised shipping routes in the Gulf, pushing down benchmark prices for refined products such as gasoil and gasoline in the Arab Gulf market by 14-23 per cent in recent weeks.
Industry sources said that if current trends persist and the rupee remains stable, Pakistan could see one of the largest cuts in fuel prices. They added that the shift in global dynamics favours oil-importing countries, creating room to pass on relief to consumers.
A reduction in diesel prices would be particularly significant for the transport and agriculture sectors, potentially lowering logistics costs and easing inflationary pressures. Lower petrol prices would also provide relief to urban consumers, especially motorcyclists.
However, final prices will depend on adjustments in the petroleum levy, general sales tax and exchange rate movements.HSD prices had surged to around Rs520 per litre after a steep increase in the previous review, driven by a spike in international diesel prices, which reached about $284 per barrel. Prices have since eased to around $247 per barrel, which could translate into lower domestic rates in the upcoming review.
