The closure of two major border crossings between Pakistan and Iran has disrupted liquefied petroleum gas (LPG) supplies to Pakistan, reportedly triggering shortages and sharp price increases in the country.
The shortage has sparked a steep rise in LPG prices in the country, with the price of a 12-kg LPG cylinder now costing almost twice than it did.
Hundreds of trucks remain stranded and businesses are grappling with interruptions to cross-border trade, according to news agency Reuters .
Pakistan’s army chief visited Tehran this week and discussed border issues with Iranian leaders. Pakistan imports around 7,000 metric tons of LPG daily from Iran, according to the Pakistan LPG Association, making the border closures a significant blow to supplies. More than 4,000 tons of LPG enters Pakistan each day through the Gabd-Rimdan crossing alone, said Shamsul Haq, former president of the Gwadar Chamber of Commerce and Industry. Traders said the price of a 12-kg LPG cylinder had surged to 7,000 Pakistani rupees ($25) from 4,500 rupees ($16) within days.
The Balochistan government, in the Pakistani province where the crossings are located, said the temporary closure was aimed at addressing security concerns and curbing smuggling. Iran’s foreign ministry, meanwhile, cited technical issues, according to a Reuters report. “These imports are at halt,” Haq said. The border closures have also disrupted the movement of goods between the two countries, leaving hundreds of trucks, including LPG tankers, stranded on both sides of the border, Haq said. Iran’s foreign ministry said consultations on resuming trade were underway.
