Jamshoro Joint Venture Limited (JJVL), one of Pakistan's premier LPG producers, has imported 2,500 metric tonnes of LPG at the Engro Vopak terminal in Karachi ahead of Ramazan. "This additional availability of LPG will assist in maintaining retail prices at affordable levels across the country," said a company spokesman.
"MT Gas Sulawesi berthed on July 28 and this product is now being transported nation-wide through our marketing network." The spokesman said JJVL shall be importing additional cargoes during Ramazan as well. According to official data, from July to December 2010, LPG imports totalled 50,836 metric tonnes. From January to June 2011, imports have totalled 9,307 metric tonnes. LPG demand is higher during winters and LPG marketing companies often sustain losses during summers because of low demand. However, demand has historically picked up during Ramazan, irrespective of season. In July last year, Pakistan saw imports of 8,146 metric tonnes.
LPG producers sell product to Ogra -licensed LPG marketing companies, which then market this gas through their authorised LPG distributors. Currently, LPG is retailing at Rs 120/kg in Lahore despite a recent Ogra directive fixing the maximum retail price at Rs 105/kg. LPG marketing companies say they are providing LPG to their distributors at the Ogra -mandated price of Rs 99/kg. The LPG distributor, who represents the lowest investment in the value chain, is currently enjoying a windfall net margin of Rs 18/kg or Rs 18,000 per metric tonne.-PR
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