Africa-Press – Cape verde. Fuels are lower as of this Saturday, April 1, advanced today the Multisectoral Economy Agency-ARME. The new maximum fuel prices, now set, are in force until 30 April.
According to the new table published by ARME, the prices of all petroleum products have registered a decrease, and, as of today, Gasoil will be sold at 129.60 ECV/L, with a decrease of -5, 30 ECV, Gasoline at 141.80 ECV/L, with a drop of -1.30 ECV, Oil at 142.50 ECV/L, with a drop of -8.90 ECV, Diesel for Electricity at 120, 53 ECV, with a decrease of -5.40 ECV and Marine Gasoil at 100.60 ECV/L, with a decrease of – 4.70 ECV.
The Fuel 380 is now sold at 90.70 ECV, with a drop of -4.70 ECV and the Fuel 180 at 94.20 ECV, with a drop of -4.90 ECV.
Likewise, according to the new update from ARME, butane gas is now sold in bulk for 154.40 ECV/KG, with a decrease of -8.50 ECV, with 12.5 kg bottles now being sold at 1,930.00 ECV, 6 kg bottles at 926.00 ECV and 3 kg bottles at 440.00 ECV. The 55 kg bottles are now sold at 8,491.00 ECV.
general decrease
In a note, ARME explains that in the domestic market, the prices of Butane, Gasoline, Oil, Normal Gasoil, Electricity Gasoil, Marine Gasoil, Fuel Oil 380 and Fuel Oil 180 decreased by 5.22%, 0, 91%, 5.88%, 3.93%, 4.29%, 4.46%, 4.93% and 4.94%, respectively.
All things considered, this corresponds to an average decrease in fuel prices of 4.32%.
Compared to the same period (April 2022), the average change in fuel prices corresponds to a decrease of 3.25% and, in relation to the average change over the current year, corresponds to a decrease of 3%.
Price decreases in the international market
According to data published in the international magazine Platts European Marketscan and LPGasWire, average fuel prices in international markets, quoted in dollars per metric tons (USD/MT), traded in Cape Verde, experienced decreases during the month of March 4 .47% (726.66 USD/MT), compared to February (760.66 USD/MT).
In this context, according to ARME, the main reasons for the drop in oil prices in March were, on the one hand, the rise in interest rates in the main economies of the world to combat inflation, which, as explained by this Agency, has “contributed to the deceleration of economic activity and to the maintenance of the perspectives of world economic recession, reflected in the reduction of oil demand”.
On the other hand, as they argue, the “banking turmoil” that started with the bankruptcy of Silicon Valley Bank and that generated a domino effect in the banking industry, giving signs of an imminent financial crisis, with potential financial risk jumping to the commodities market and decrease the demand for oil.
This decline was therefore mitigated, above all, by the prospect of growth for the Chinese economy, which, according to ARME, is expected to reach 6% in 2023 and is still driven, essentially, by record imports of Russian oil, since its price it is cheaper, as well as the expectation of renewal of the Strategic Reserves of the United States of America.
Import Duties and Special Consumption Tax
For the present fuel price update, account was also taken of Law no. 16/X/2022, of December 30, which approves the State Budget for the financial year of 2023, changing the fuel rates Import Duties (DI) and Special Consumption Tax (ICE) rates, contained in the Customs Tariff, approved by Law No. 49/IX/2019, of February 27 (corrected by Rectification No. 25/2019 , of March 28), in relation to gasoline, diesel and fuel oil, in accordance with the table in Annex III of this State Budget Law.
This Law increases the DI rate on Gasoline from 10% to 20%, keeping the values for Fuel at 0%, and the ICE rate on Gasoil and Gasoline at 6$00 (six escudos) per liter.
It should be noted that the quotation of the Euro on the last working day of March recorded an appreciation of 2.35% (1.0867) against the dollar, compared to the exchange rate for the month of February (1.0617). This evolution of the exchange rate tends to reduce the prices of petroleum products in the domestic market, corresponding to an average decrease in fuel prices of 1.58%.
The new maximum sale prices to the final consumer were in force from this Saturday, 1, until April 30, 2023, when ARME carries out the new update.
For More News And Analysis About Cape verde Follow Africa-Press
