Some local fuel retailers have reduced diesel and petrol prices in line with the falling global oil prices. In a survey yesterday, it was established that Sakunda Energy and Redan Petroleum reduced fuel prices on Wednesday by at least three cents per litre. Diesel, which used to cost US$1,43 per litre, is now selling at US$1,40, while petrol now costs US$1,51 per litre from US$1,54.
Sources at Sakunda Energy and Redan Petroleum said they reduced the prices in line with trends on the global market.
“We will continue reviewing the prices according to the global price fluctuations,” said a source at Sakunda. “The price of fuel went down on the international scene recently and we are reacting to that decrease by adjusting our prices downwards.”
Consumers who bear the burden of high fuel prices through increased cost of transport yesterday welcomed the development.
A number of motorists said the reduction in the fuel price should also reflect in the prices of other commodities.
A Harare man, Mr Shepherd Raza, said it was unfair that prices of other goods always went up due to increases in fuel prices, but never declined when the fuel prices were reduced.
“This is positive. We should see this also reflecting on other commodities. When global prices fall it should reflect on the local market,” he said. “Hopefully, other suppliers are going follow suit in adjusting fuel prices.”
Mrs Brenda Taruvinga said retailers should always adjust prices according to the international market trends.
“A lot of goods are overpriced in Zimbabwe,” she said. “Retailers should not over- charge us, but should follow the market trends.”
Business magazine, Bloomberg, recently reported that crude oil prices had fallen to a four-year low due to increased output from the United States and a decline in global de- mand.
Data from Bloomberg indicates that the value of West Texas Intermediate crude, which is used to benchmark global prices, dropped to US$68,56 per barrel in Monday’s trading on the New York Mercantile Exchange.
The International Energy Agency predicts that the current decline in global oil prices will slide into 2015 due to increased production from the US.
Other reports predict that the drop in crude prices could go to as low as US$40 per barrel.