Petrol price may see major cut for next fortnight on March 16

Amid the recent decline in global oil rates, the petroleum products prices are likely to go down in Pakistan by up to Rs14 on March 16, Geo News learnt on Wednesday.

Sources in oil companies said the price of petrol was likely to be reduced by Rs14 per litre, while high-speed diesel (HSD) may see a cut of Rs8 per litre.

Likewise, the sources said the kerosene and light diesel oil could be slashed by Rs10 and Rs7 per litre, respectively.

However, the final price will be determined based on the fluctuations in the global oil prices over the next three days, they said.

On February 28, the federal government reduced the price of petrol by Re0.50 and that of the HSD by Rs5.31 for the next fortnight ending March 15.

Petrol is mainly used in private transportation, small vehicles, rickshaws, and two-wheelers. Higher fuel prices significantly impact the budgets of the members of the middle and lower-middle classes, who primarily consume petrol for commuting.

On the other hand, a significant portion of the transport sector relies on high-speed diesel.

Its price is considered inflationary since it is predominantly used in heavy goods transport vehicles, trucks, buses, trains, and agricultural machinery such as tractors, tube wells, and threshers. The consumption of high-speed diesel particularly contributes to the increased prices of vegetables and other food items.