Serhii Kuyun, director of the A-95 Consulting Group, notes that LPG prices have risen against the backdrop of logistical problems due to queues at the borders, while he expects prices to drop in December.
This was announced by Kuyun on Kyiv FM radio, Ukrainian News Agency reported.
"It's a purely logistical problem: at the borders, the queue is now up to two weeks for gasoline trucks to leave, and in our case - gas trucks, you have to wait 2 weeks. Accordingly, to bring the former volume, you need more of these vehicles, and they are no longer available. Due to the logistical gap they don't have time to bring fuel, and there is a certain shortage, and it pushes prices up... Everything is normal on the foreign market, there is a lot of gas and the price for it is normal, but we cannot bring the required amount of it. This creates a resource shortage and the price rises," he said.
At the same time, Kuyun predicts that in December the situation on the LPG market will stabilize and prices will decrease.
"I think the situation will improve because now we are seeing more companies trying to ship by rail to get around this problem. So I think this turbulence will continue for a month, then I'm sure the price will roll back... At the current taxation system, the price of liquefied gas should be no more than 50% of the price of gasoline. If our average price of gasoline is UAH 55 per liter, then the objective price of gas is about UAH 27.5 per liter," the expert noted.
As Ukrainian News Agency earlier reported, from October 6 to November 6, average prices for LPG rose by 18.7% from UAH 26.47 per liter to UAH 31.42 per liter.
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