Price reduction for LPG products effective from next week
11 October, 2019, 10:22 pm
THE price of liquefied petroleum gas (LPG) products will drop from Tuesday next week, according to the Fijian Competition and Consumer Commission (FCCC).
The commission stated that the following new LPG prices will come into effect from October 15.
- 4.5 kg cylinder from $13.46 to $11.84, a decrease of $1.62;
- 12 kg cylinder from $35.89 to $31.58, a decrease of $4.31;
- 13kg cylinder from $38.88 to $34.21, a decrease of $4.67;
- Bulk from $2.52 per kg to $2.21 per kg, a decrease of 31 cents; and
- Auto Gas per litre from $1.69 to $1.49, a decrease of 20 cents.
Prices were mainly determined by the movement in international prices for LPG products since the last quarter, stated the commission in a press release today.
FCCC chief executive officer Joel Abraham said: “In this quarter, the LPG market was supported due to strong Middle East exports, including those from Iran, that continued to pressure the Arab Gulf market. In addition, demand in China was at a seasonal calm and buyers in India were well-stocked from the elections and many had delayed their purchases to avoid port congestion issues.
“Furthermore, butane prices had found support from India’s growing demand, while Middle
East supply of butane and mixed cargoes had been limited by lower Iranian exports.”
Mr Abraham said the changes in prices for LPG products were also impacted by the favourable movement in the international freight rates and the slight weakening of the US dollar against the Fijian dollar.
“As such, any changes to the world market prices will be reflected in LPG prices in the Fijian market,” he added.