ISLAMABAD: The ex-depot prices of petroleum products are estimated to increase by up to Rs6.20 per litre with effect from January 16 to 31, 2025 due to higher international prices.

According to the market sources, the ex-depot petrol price was estimated to go up by Rs3.53 per litre. Kerosene oil and light diesel oil (LDO) prices are expected to rise by about Rs4.98 and 6.20 per litre, respectively. The price of high speed diesel (HSD) is estimated to increase by Rs2.29 per litre.

The Brent prices have risen by up to $1-2 per barrel since January 1, 2025.Import premiums on petrol and diesel remained unchanged while the exchange rate generally remained stable

Sources said that the petrol and HSD prices increase could be adjusted within the inland freight equalisation margin (IFEM).

The ex-depot petrol and HSD are expected to raise from Rs252.66 per litre to Rs256.19 per litre and HSD from Rs258.34 to Rs262 per litre respectively. Kerosene’s official rate is Rs162.95 which would likely increase to Rs167.93 per litre and LDO from Rs149.35 to Rs155.55 per litre. On December 31, the government increased petrol and HSD prices by 56-paisa and Rs2.96 per litre, respectively.

Petrol is mainly used in private transport, small vehicles, rickshaws, and two-wheelers, and it directly affects the budget of the middle and lower middle classes.

Most of the transport sector runs on HSD.

Its price is considered inflationary as it is mostly used in heavy transport vehicles, trains and agricultural engines such as trucks, buses, tractors, tube wells and threshers, which add to the prices of vegetables and other eatables.

Copyright Business Recorder, 2025