Despite the reduction, oil prices are still higher

KARACHI:

Hyderabad Chamber of Small Traders and Small Industries president Muhammad Farooq Shaikhani has lauded the government’s decision to reduce the prices of petroleum products, stating that this step will help to moderate the wave of inflation in the country.

He said the announcement made on Friday by the Finance Ministry, on the recommendation of the Petroleum and Natural Gas Regulatory Authority (Ogra), to reduce petrol prices by Rs 14 per liter and high speed diesel prices by Rs 13.50 per liter “is welcome news for both the business community and the public,” it said in a press release issued on Saturday.

He said the move will be beneficial to all sections of society, especially traders and industrialists, who have been facing difficulties in fulfilling their orders on time and at fixed prices due to the increased cost of petroleum products used in transportation.

“When the government escalates oil prices, everything in the country becomes more and more expensive. However, when prices come down, the impact does not reflect on prices,” he said and called for administrative measures to ensure reduction in transport fares and other costs.

Reading The government has reduced the price of petrol by Rs 14 per litre

Therefore, “the government should devise a systematic mechanism to ensure that benefits reach all sections of society.”

Despite the recent reduction, he pointed out, the prices of petroleum products in the country are still quite high compared to international markets. He called on the government to align prices with world market interest rates.

Highlighting global trends, Shaikhani said all developed countries are switching to alternative energy sources and several European countries have already banned gasoline vehicles within their borders.

He stressed that the government of Pakistan should actively explore alternative energy sources for oil needs to ease the burden on the national economy.

Published in The Express Tribune, December 17^u2023.

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