LPG prices down by P2 per kilo

MANILA, Philippines - Major liquefied petroleum gas (LPG) suppliers Petron Corp. and Pilipinas Shell Petroleum Corp. have cut their LPG prices by P2 per kilo effective yesterday.

The two companies said the recent LPG price reduction is consistent with the movement of international contract prices of LPG for the month of July.

Petron said its auto LPG products will also be reduced by P1.25 per liter.

As of June 29, the LPG contract prices were at $904 per metric ton, a drop of $50 per MT from last month’s average.

The auto LPG prices, as of June 29, stood at a range of P31.40 to P31.50 per liter.

Meanwhile, Rep. Arnel Ty of the LPG Marketers Association of the Philippines (LPGMA) said they have not implemented any price cut.

He said the move of the two major LPG suppliers to reduce their prices only put their prices at par with the LPGMA prices, which are at P680 per 11-kg tank.

Ty said they would be responding accordingly to market movements by next week.

He also said that Petron and Shell’s price decreases are good only for retailers and their respective bulk prices remain.

“They (Petron and Shell) are saying they have not been able to buy competitively priced LPG in the region that’s why they can’t reduce their prices for bulk customers,” he said.

LPGMA buys bulk from these two big LPG suppliers.

Before the rollback, the price of an 11-kilogram LPG cylinder was at P687 to P757.

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