ASUNCIÓN — Fuel prices in Paraguay are falling one after another, buoyed by a recent decline in international oil prices and a stable exchange rate. Starting with the state-owned oil company Petropar, major companies like Shell, Copetrol, and Petrochaco are successively lowering prices, which is expected to significantly reduce the burden on consumers. This price adjustment is the second reduction in less than two months, following the one on August 11, once again revitalizing the market.
Petropar and Private Companies Lead the Price Cut
Petropar initiated this round of price cuts. The company announced it would lower gasoline and diesel prices by 250 guaraníes per liter starting last Friday. President Santiago Peña highlighted the state-owned company's role by stating directly on social media, "Paraguay, a country on the move. Today we lowered gasoline prices by 250 guaraníes per liter." Following Petropar's lead, Shell announced it would lower prices by up to 450 guaraníes per liter, while Copetrol and Petrochaco also joined the competition by adjusting their prices on Monday.
Petropar's new prices are set at 6,800 guaraníes per liter for Diésel Porã and 8,600 guaraníes for Diésel Mbarete. For gasoline, the price for 88 octane was adjusted to 5,740 guaraníes, 93 octane to 6,240 guaraníes, and 97 octane to 7,590 guaraníes.
Background of the Price Reduction
This fuel price reduction is attributed to three main factors. First, a drop in crude oil prices in the international market. Global economic uncertainty and stable supply have led to a downward trend in oil prices, creating room for domestic price cuts. Second, a stable exchange rate. Paraguay's exchange rate has remained relatively stable, reducing the cost burden of imports. Third, Petropar's strategic crude oil purchases were effective. Petropar analyzed the market situation closely and secured crude oil under favorable conditions, which it was able to reflect in consumer prices.
The government expects these measures to directly help the household economy of its citizens. Authorities stated that they will continue to monitor the international market to maintain price competitiveness while ensuring fuel quality.
This price cut is seen not just as a result of market competition but as a concerted effort by the government and companies to improve the lives of citizens, even slightly, during difficult economic times. Citizens welcome the lower oil prices and hope that such positive policies will continue in the future.
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