Prices continue to fall in the wholesale fuel and autogas market in Ukraine: how the harvest will affect the situation - forecas

02 July 2022, 17:03 | Economy
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During the outgoing week, wholesale prices for gasoline, diesel fuel and autogas continued to fall in Ukraine, which will soon inevitably affect the retail market. This is evidenced by the monitoring data of the A-95 Consulting Group, writes enkorr.

So, according to the results of July 1, compared to June 24, the wholesale price for diesel decreased by 4 UAH/l.

On July 1, on average, gasoline in Ukraine could be purchased for 1 UAH / liter cheaper compared to prices last Friday.

Autogas has fallen in wholesale prices by 10% over the week.

“Ongoing events clearly demonstrate that the market deficit has been exhausted.. Consumption has almost halved since June 2021. Demand was also affected by the filling of the country with gasoline, although things in this segment are still far from desirable,” said Artem Kuyun, an analyst at A-95..

Traders say further price drops should be expected next week.

“Currently, there is enough gas on the Ukrainian market, most likely, the price will drop another couple of thousand hryvnias next week, because an increase in demand is not expected yet, and imports remain at a high level,” says one of the interviewed traders..

Moreover, according to expectations, the harvest will not even particularly affect the situation.. At least in the first stage.

“There is a possibility of an increase in demand and, accordingly, an increase in prices when farmers enter the active phase of the harvest. However, all this time after the end of the sowing period, the agricultural enterprises were actively stocking up, so they at least have a stock for the first period of agricultural harvesting, ”said one of the traders..

In general, according to the results of the week, on July 1, on average, gasoline in Ukraine could be purchased for 50 UAH/l. And the range of trade for high-octane is within 46-54 UAH/l.

On the first day of July, on average in Ukraine, diesel in the group could be purchased at a price of 52 UAH / l, and diesel fuel was traded within 47-58 UAH / l, depending on the region.

The palm in the price relay race is still held by the southern regions of the country, where for a week the price tags for diesel fuel in wholesale dropped 3-4 UAH/l, and diesel was sold on July 1 for 47-49 UAH/l.

Western region ranks second in price competition. Here, diesel could be purchased in the range of 50-53 UAH/l, which is also lower than prices last Friday by 1-2 UAH/l. Both autonorms and wagon lots were available. The cost of the latter was at the level of 58 thousand. UAH/t.

Prices for diesel fuel in the northern regions of the country have also become more affordable compared to June 24. Here diesel fuel on Friday was sold for 53-56 UAH/l, and the weekly price reduction was 2-3 UAH/l.

Wholesale prices for diesel in the central region of the country on July 1 are in the range of 54-57 UAH/l. During the week, a decrease in wholesale offers by 1-2 UAH/l was also recorded in this region.

Diesel fuel is consistently more expensive - in the eastern regions of the country, it can be bought for 56-58 UAH / l. But this also indicates a decrease in prices by 2-3 UAH/l. Here this week, in addition to the permanent factor of remoteness of these regions of the country from customs clearance points, increased enemy activity has also been added.. Some drivers tritely refused to deliver fuel to the eastern regions.

Wholesale lots of liquefied gas showed a decrease by UAH 5,500/t over the week, and as of July 1, the average price was about 55 thousand. UAH/t. However, the price range remains wide – 47,000-60,000 UAH/t depending on the region.

At the auction " Traders report that the demand at the auction was quite high and the entire volume was sold.

The level of prices for liquefied gas in the northern regions of the country decreased by UAH 5,000-7,000/t over the week to UAH 55,000-59,000/t.

Wholesale prices in the central region also show a decrease by UAH 4,000-6,000/t, autogas in these regions on Friday, July 1, was offered within the range of UAH 54,000-60,000/t.

The cost of autogas is traditionally lower in the western region of the country - UAH 52,000-55,000/t, which is UAH 5,000 lower than a week earlier.

Cheaper liquefied gas could be purchased in the southern regions.

Here it was traded for UAH 51,000–54,000/t, and the price reduction for the week amounted to UAH 5,000–6,000/t.

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Recall that over the last ten days of June, the retail liquefied natural gas market showed all signs of stabilization and an end to shortages.. So, at most gas stations with gas water heaters, the resource for cash almost does not disappear, in a number of networks the price began to decline.

According to the A-95 Consulting Group, LPG supplies to the Ukrainian market in June amounted to about 87 thousand.




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