April 01, 2008	Tuesday	Rabi-ul-Awwal 23, 1429

KARACHI, March 31: Two leading producers of liquefied petroleum gas Jamshoro Joint Venture Limited (JJVL) and Oil and Gas Development Company Ltd (OGDCL) having a combined market share of 55 per cent on Monday slashed prices by Rs5,175 and Rs6,681 per ton to Rs39,197 and Rs40,703, respectively.

LPG Distributors Association chairman Hadi Khan said that the two producers had taken this decision on the recommendations of his association keeping in view the ground realities. The LPG retail prices would come down to Rs49 per kilo, effective from April 1, he added.

He said that the JJVL and OGDCL were producing 450 tons and 300 tons per day respectively.

He pointed out that the LPG production cost ranged between Rs8,000 to Rs10,000 per ton while it was selling at much higher prices.

The LPG marketing companies had already slashed retail prices twice in the last one week following a sharp decline of 60 per cent in their sales due to massive smuggling from Iran.

Hadi urged the LPG producers to further cut the ex-refinery and ex-field price to Rs20,000 per ton to encourage its use in households and auto sector.—APP