Prices of Petroleum products are expected to witness some significant reduction at the pumps from March 16 2025.
This is based on the Pricing Outlook Report that guides the price quotes of the various Oil Marketing Companies from March 16 to 31st March 2025 and seen by JOYBUSINESS
The decline might be the third consecutive drop in prices at the pumps since February 16 2025.
Pricing Dynamics from March 16 2025
Based on the Pricing outlook from 16th to 31st March 2025, that JOYBUSINESS has secured from the Oil Marketing Companies, a liter of petrol is likely to be sold at 14 cedis 90 Pesewas, representing a 4.5 percent drop from the price quotes on March 1 2025.
Diesel should go down by 3.8 percent; resulting in a liter selling at 15 cedis 90 pesewas.
A kilogram of LPG may be sold at 17 cedis 35 Pesewas, representing a 3.9 percent decline.
These projections are based on the Cash Purchase by the Oil Marketing Companies from the various Bulk Oil Distribution firms from March 16 to 31st 2025.
Pricing Dynamics based on Credit Purchase by the OMC’s
However, if the Oil Marketing Firms are getting their products from the Bulk Oil Distributing firms on credit, then these are the expected productions at the pumps from today, March 16th 2025.
Petrol should be sold at 15 cedis 10 pesewas per litre
Diesel 15 cedis 40 pesewas per liter
LPG – 17 cedis 55 Pesewas per Kilogram
Reasons
According to the Oil Marketing Companies, the expected reduction has been influenced by the continuous reduction in prices of crude oil since February 2025.
The Pricing Outlook report has shown that for this pricing window, crude oil prices declined significantly by 4.16%.
Consequently, international product prices for diesel and LPG dropped by 6.37% and 9.00%, respectively, with petrol recording the highest decrease of 9.22%.
Similarly, all refined product prices exhibited a significant downward trend.
Diesel and LPG prices dropped by 6.37% and 9.00%, respectively, with petrol recording the highest decrease of 9.22%.
Cedi’s impact
The Performance of the Cedi over the past weeks had also impacted on price projection by the Oil marketing companies for this week.
The cedi continues to show a marginal depreciation against the US dollar in the early part of March 2025.
As of March 1st, 2025, the forex rate was approximately 15.5793GHS per USD, and by March 10th, 2025, it had increased to 15.6118GHS per USD, reflecting a marginal decrease of 0.20% in the exchange rate.
The cedi has shown marginal stability against the dollar over the past week, with slight fluctuations in exchange rates across different markets
Implications on Transport fares and Inflation
The development, should trigger discussions for a reduction in Transport fares with the various Unionized operators.
This is because there has been some agreement between the unionized transport operators that, any time prices of Petroleum Products go up by more than 5 percent in a quarter, that should result in some discussions for transport fares to go up.
The same rule applies, which petroleum prices are dropping.
A careful analysis of the price quotes from last month showed that, prices might have gone down by almost 10 percent.
If the trend is sustained, it could also impact on the prices of food stuffs at the market, when you factor the Transport cost.
Data from the Ghana Statistical Service showed that food inflation has been the major driver of inflation since January this year .
Inflation rate ending February 2025 stood at 23.1 percent from the January rate of 23.5 percent.
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