Pakistan’s consumers could receive some much-needed financial relief at the fuel pumps as petrol and diesel prices are poised to decrease from August 1. According to industry insiders, a drop in international oil benchmarks and associated premiums is expected to lower local prices significantly.
Preliminary calculations indicate that the ex-refinery price of petrol may fall by Rs9.7 per litre, while high-speed diesel (HSD) is set to drop by around Rs3.73 per litre. The anticipated change stems primarily from a global downturn in crude oil prices and reduced premiums.
Sources report that the international petrol price has dropped from $75.27 to $73.19 per barrel, while the premium has shrunk from $9.61 to $6.74 per barrel. Additionally, customs duty on petroleum imports has been adjusted downward—from Rs15.33 to Rs14.29 per litre.
If these trends hold, the ex-refinery price of petrol will slide from Rs168.73 to Rs159.66 per litre, opening the door for retail price reductions.
Currency movements may also factor into final pricing, with a stronger Pakistani rupee potentially offering further relief. However, analysts caution that the government’s petroleum levy policy remains a wildcard. An increase in the levy could offset any reduction, keeping final consumer prices stable or only marginally lower.
The Ministry of Finance, in consultation with the Prime Minister’s Office, will finalize the new fuel prices after receiving a detailed summary on July 31. Consumers nationwide are expected to keep a close watch as officials deliberate on the next fortnightly fuel adjustment.
