Gasoline price drops for the second week in a row – 07/21/2023 – Market

The average price of gasoline at Brazilian stations fell 0.7%, or R$0.04 per liter, this week. According to the ANP (National Agency of Petroleum, Gas and Biofuels), the product was sold, on average, at R$ 5.59 per liter.

It was the second consecutive retreat after a strong rise with the resumption of federal tax collection at the beginning of the month. In accumulated terms, the average price of fuel fell by R$0.08 per liter after reaching a peak of R$5.67 in the first week of July.

The movement reflects cut transfers promoted in Petrobras refineries at the beginning of the month and the fall of about 10% in the price of anhydrous ethanol, which represents 27% of the mixture sold at the stations, in two weeks.

The price of hydrous ethanol at the pumps also dropped, closing the week at R$3.77 per liter, R$0.10 less than the previous week. The value returned to almost the same level as before the resumption of full collection of federal taxes.

According to the ANP, the average price of diesel continues to fall at the stations. This week, the S-10 diesel was sold, on average, at R$ 4.99, below the R$ 5 barrier for the first time since May 2021, in inflation-adjusted values.

The product has been falling since the beginning of the year, a reflection of Petrobras’ new pricing policy, which abandoned the concept of import parity and has been selling products well below international quotations.

At the opening of trading this Friday (21), the price of gasoline at Petrobras refineries was R$ 0.55 per liter below the quotation calculated by Abicom (Brazilian Association of Fuel Importers). In the case of diesel, the difference was R$ 0.50.

These are the highest levels since the beginning of November 2022, shortly after the election campaign, when Petrobras spent a long period without keeping up with international quotations.

Cooking gas, which also had its price reduced at Petrobras refineries in early July, was sold, on average, at R$ 101.91 per 13-kilogram cylinder, practically stable in relation to the R$ 101.91 verified in the previous week.