March 19, 2002	Tuesday	Muharram 4, 1423

ISLAMABAD, March 18: Pakistan imported nearly 4.86 million tons of petroleum crude during the period July-February 2001-02 — 6.63 per cent more than the same period of previous year.

In spite of the quantitative increase in import of the important energy source, according to an official source, its share in total import bill ($7.19 billion) declined from 12.84 per cent during the July-February 2000-01 to 12.50 per cent in the current financial year.

This was because of a sharp 17.92 per cent drop in the import price of crude. During the previous year, it was imported at the average rate of $202.78 per ton. This year, its price averaged about 36 dollars lower at $166.45 per ton.

February 2002, however, saw a slight decline (3.92pc) in the quantity of crude oil imported by Pakistan — 0.55 million tons. But when compared with January 2002, the decline was still more marked — 9.86 per cent during the month under review.

Although the government and the oil companies took turns raising the energy prices within the past month, the import price of crude ($145.25 per ton) was about 30 dollars less than that in February 2001 in dollars but in Pakistan rupee as well. When compared with January 2002, however, the increase is all the more incomprehensible in view of the appreciation of the rupee against the dollar.

Consequently, the aggregate price paid for import of crude in February was 7.92 per cent less in rupees as against 7.85 per cent reduction in dollars. In a situation where the cost in dollars declined coupled with depreciation of dollar below Rs60 for the first time in about two years, it is difficult to find the justification for raise in price for the end-user.