Butane dealers seek another price hike
Gas gwine up again. On December fourteenth, Belize’s Liquid Petroleum
Gas Importers were threatening to shut down if the government would not
approve an increase in the retail price of butane. After receiving the
go ahead the cost for consumers went from fifty-eight to sixty-three
dollars for a hundred pound cylinder. Now, only two weeks later, the
importers are saying that another blow has been dealt to the industry as
world prices are skyrocketing once again.
Michael Godoy, Spokesperson, LPG Importers
“The increases that are being experienced in the butane and gas
has absolutely nothing to do with the government or the importers of
LGP. The government has no control and the importers have no control.
World prices dictate what Belize will pay for the acquisition of butane.
Now, why we decided to do the press release is that the new acquisition
cost that we have for January has gone up to like five dollars on the
hundred pound cylinder. So that hundred pound cylinder has gone now from
sixty-three dollars to now sixty-eight. That is if the government
approves it.”
Jose Sanchez
“When it comes to the different prices you pay, does it fluctuate?
Is it something you expect might increase some more in the future?”
Michael Godoy
“We really don’t have much control. Past experience show
generally maybe up to February March or so, prices start to stabilize.
After that maybe you have lower cost but it will never go back to where
it was before.”
“It’s very difficult for families that are earning, one hundred
twenty-five, one hundred fifty dollars to pay sixty-eight dollars for a
tank of fuel. Obviously the poor class of people are the ones who are
going to feel it the most. Business can always pass it on to their
consumers, but the individual who uses it at home they are the ones who
are going to suffer these high prices.”
The LPG Importers of Belize buy gas from PEMEX International in
Mexico. Godoy says that the gas companies are unable to bargain over the
price and they would not receive any additional profit if government
accepts the proposed increase. In the meantime dealers will sell out
their existing stocks at the sixty-three dollar price. When new supplies
are acquired, however, distributors are unlikely to sell unless the new
price has been approved. It is not clear how quickly the government will
be able to respond to the LPG Importers’ request.