Petrobras Emphasizes That Gasoline And Diesel In Brazil Are Cheaper Than In Hundreds Of Other Countries

Despite The Disparity Of Prices In Brazil, Petrobras Still Manages To Outrank Up To 123 Countries, Including Latinos And Europeans When It Comes To Diesel And Gasoline Values

With the successive increase in fuel prices in 2021 at Petrobras refineries, the impression left is that the state-owned company is the great villain of the story; however, there are more than a hundred countries with gasoline and diesel prices much higher than those practiced in Brazil, where the adjustment policy is aligned with the international market in US$ (US DOLLAR).

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“Aligning prices to the international market is essential to ensure that the Brazilian market continues to be supplied without the risk of shortages by the different actors responsible for serving the various Brazilian regions: distributors, importers, and other refiners, in addition to Petrobras. This same competitive balance is responsible for price reductions when supply grows in the international market, as occurred throughout 2020.” says the state-owned company

Anticipating retaliation and protests, especially from the final consumer, Petrobras issued a statement to the press this Thursday (18) regarding the fuel price increase that will take effect on February 19, along with a table showing how the percentages of gasoline and diesel values to the gas station are composed. See the example in the image below:

As can be seen in the image above, before the fuel actually reaches the tank of the final Brazilian consumer, it is necessary for it to go through several state and federal taxes, along with other associated costs. But despite these numerous tax barriers, remarkably, Brazil still manages to be more competitive than many Latin and European countries.

The Final Price Of Diesel And Gasoline To The National Consumer Is Below The Global Average

” According to research from Globalpetrolprices.com covering 167 countries, the average gasoline price to the final consumer in Brazil is 17% lower than the global average and ranks 56th, being lower than the prices observed in 111 countries.”

“For diesel, in a sample of 166 countries, the final price in Brazil is 28% lower than the global average and ranks 43rd, meaning it is lower than 123 countries.”

“In both cases, the average prices in Brazil are below the prices recorded in Chile, Argentina, Peru, Canada, Germany, France, and Italy.”