Zimbabwe fuel traders lower prices

Fuel traders in Zimbabwe are gradually slashing the price of fuel as they move to comply with a government directive for them to cut prices by about 20 U.S. cents.

Government issued a two-week ultimatum for fuel traders to cut prices by Jan. 14 this year in line with falling prices of crude oil on the international market.

The government directed traders to reduce the price of petrol from an average of 1.54 U.S. dollars per litre to 1.32 U.S. dollars and for diesel to go down to 1.20 dollars per litre from 1. 44 dollars.

This follows a nearly 50 percent drop in price of crude oil on the international market since June last year.

But a snap survey by Xinhua in the capital Wednesday indicated that the majority of fuel service stations were yet to fully comply with the directive.

Zuva Petroleum had by Wednesday afternoon cut petrol prices from 1.50 dollars per litre to 1.41 dollars and diesel from 1.36 dollars per litre to 1.29 dollars.

Total Zimbabwe had reduced petrol price from 1.52 dollars per litre to 1.45 dollars and diesel from 1.40 dollars per litre to 1. 35 dollars.

Sakunda Energy was selling petrol at 1.44 dollars per litre and diesel at 1.33 dollars per litre.

A comment could not be immediately obtained from the energy regulator, the Zimbabwe Energy Regulatory Authority but government previously warned that it would take stern measures against traders who fail to adhere to the new prices. Endi