In light of what has been announced regarding the new prices for petroleum products, effective from Friday, April 11, 2025, at six o’clock in the morning. It is worth noting that despite the recent price increases in petroleum products, the price gap between the cost and the selling price still exists due to the significant increase in costs, which these increases have not yet absorbed, the Ministry of Petroleum and Mineral Resources (MoPMR) said in an official statement.

While the state is keen on considering the social dimension and alleviating burdens on citizens, it directs the largest portion of subsidies towards diesel, butane gas (LPG), and 80/92 octane gasoline to ease the burden on citizens. It is worth noting that the state imports approximately 40% of its diesel consumption, 50% of its LPG consumption, and 25% of its gasoline consumption.

Thus, the daily subsidy according to the announced prices, which the state bears as a result of the gap between prices and the actual cost incurred by the state for various gasoline products, diesel, and butane gas, amounts to approximately EGP 366 million daily, equivalent to EGP 11 billion monthly.

It is also worth noting that despite the decrease in the price of Brent crude oil and global prices during the recent period, this decrease has only led to a slight reduction in the cost of a liter of diesel, estimated at about 40 piasters only. Consequently, the gap between the selling price and the cost continues to exist, taking into account market expectations for the upcoming period in light of the instability of petroleum product prices due to global geopolitical and economic tensions, in addition to developments in production, transportation, and import costs.

Additionally, it is worth noting that the previous decisions to adjust prices were on October 18, 2024 (6 months ago), in consideration of alleviating the burdens on citizens.

Furthermore, there will be no consideration of changing the current prices for at least the next 6 months.

On the other hand, within the framework of the first pillar of the MoPMR’s strategy, which focuses on ensuring the stability of the local market’s supply of petroleum products, the Ministry continues its ongoing work to increase domestic production and provide several incentive packages for production partners. This aims to maximize the output of the local market in order to reduce the import bill and the overall cost of products.