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Pakistan LPG Prices Surge as Iran Border Closure Disrupts Supply

NewsruptBlogNationalPolitics & GovernancePakistan LPG Prices Surge as Iran Border Closure Disrupts Supply
NewsruptBlogNationalPolitics & GovernancePakistan LPG Prices Surge as Iran Border Closure Disrupts Supply
Pakistan LPG Crisis: Prices Rise Amid Supply Shortage

Pakistan LPG Prices Surge as Iran Border Closure Disrupts Supply

Pakistan’s Petroleum Minister Ali Pervaiz Malik told the National Assembly on Monday that the closure of the Pakistan-Iran border was a major reason for rising liquefied petroleum gas (LPG) prices. He said the government was exploring sea routes to bring in fuel and ease the shortage.

Malik was responding to a notice raised by lawmakers over the sharp increase in LPG prices. The issue has become a serious concern for households, especially in areas without piped natural gas.

Households Face Rising LPG Costs

LPG prices have climbed well above the official rate set by the Oil and Gas Regulatory Authority (Ogra). The notified price is Rs 280 per kilogram. However, lawmaker Aliya Kamran said consumers in remote and northern areas were paying Rs 700 to Rs 800 per kilogram.
A 12-kilogram cylinder also became much more expensive. According to figures, its price rose from around Rs 4,500 to Rs 7,000 within days of the border closures. The increase is putting extra pressure on families that depend on LPG for cooking and heating. Demand usually rises in winter, which could push prices higher if supplies remain limited. Malik admitted that LPG was not being sold at the official rate, even when supplies were sufficient.

Iran Border Disruptions Reduce Supply

Malik said Pakistan gets 50 to 60% of its LPG from Iran. The rest comes from Qatar. However, he said supplies from Qatar had been suspended amid the conflict involving the United States and Iran. Reports indicate that around 70% of LPG imports enter Pakistan through land routes. This makes the country more vulnerable to border closures and trade disruptions.

The Gabd-Rimdan crossing has partly reopened for some Pakistani agricultural exports to Iran. However, LPG imports remain disrupted. International prices are also adding to the problem. Malik said Saudi Aramco’s contract price had risen to $705 per tonne.

Government Promises Relief Measures

During the Assembly discussion, lawmaker Naeema Kishwar questioned why border trade with Iran had been suspended. She also alleged that LPG supplies were being diverted to Afghanistan. This claim has not been independently confirmed in the reports cited.

Malik said the government was looking for alternative import sources and reviewing the LPG supply system. He also promised a pricing policy to protect low-income households. The government plans to work with Ogra and provincial authorities to tackle artificial shortages and overcharging.

However, a major problem remains. The official rate of Rs 280 per kilogram applies to locally produced LPG, while imported supplies do not have a clear pricing policy. This gap makes it harder to control prices and protect consumers. Until supply improves and pricing rules become clearer, many households may continue to face high LPG costs.

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