Oryx Gas has slashed cooking gas prices by around 10 per cent, following the drop of the price of the commodity in the world market.The prices went up late last year following the surge of demand in Europe caused by harsh weather during winter.
The world price, according Oryx, dropped by almost 200 US dollars to US$1,020 a tonne warranting slashing of domestic prices last week.
Oryx Gas officer said the last month consignment was relatively cheap compared to the one ordered last December which was US$ 1,225 a tonne.
“This made us to reduce prices,” said the official who preferred not be named. Oryx, the marker leader, was the only liquefied petroleum gas distributors yesterday cut-down the prices for all cylinders by roughly 10 per cent.
The prices for 15 kilogramme cylinder, the popular size for homes, went down from 63,000/- to 56,000/- sending big relief to users, especially at this time when power tariffs were recently hiked.
For 6kg cylinders the price has declined slightly by 1,500/- to 23,000/- for coastal regions. The upcountry prices also are almost at par with coastal regions of Dar es Salaam, Tanga, Zanzibar, Dodoma, Morogoro and Coast.
The difference is only 2,000/- and 800/- for 15kg and 6kg respectively. The officer said they envisaged the price at world market to stabilise a trend that would keep the local prices stable as well.
“We will be in a better position to tell the direction of prices after this month (February),” the officer said, “the March consignment will map out the price direction prediction...it is too early now.”
One of the Oryx customers, said the price slashing was a big relief to her. “At least 56,000/- is a reasonable range...this enable me to continue to use gas,” she said.
Oryx, importing about 3,200 tonnes a month, is the largest cooking gas distributors in the country commanding about 70 per cent of the gas market.
The firm bottles and distributes LPG from its gas terminal and filling plant in Dar es Salaam and actively promote the gas as an alternative to firewood and charcoal.
The cylinders are then distributed via appointed dealers. In addition, it exports LPG to neighbouring Kenya and Rwanda.
Source: Daily News, reported by Abduel Elinaza from Dar es Salaam, Tanzania
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