The Bangladesh Petroleum Corporation says higher import costs have caused major losses. The new prices took effect on Monday, September 21.
The Bangladesh Petroleum Corporation (BPC) has raised the prices of diesel, kerosene, petrol and octane by Tk 20 per litre. The new prices came into effect on Monday, September 21, following a notification issued on Sunday.
Diesel now costs Tk 135 per litre, up from Tk 115. Kerosene has risen to Tk 155 from Tk 135. Petrol now costs Tk 160, while octane costs Tk 165 per litre. Their earlier prices were Tk 140 and Tk 145, respectively.
The BPC said the increase was needed to reduce losses caused by higher international oil prices and rising import costs. The new rates are the highest fuel prices in the country’s history.
Fuel import costs rise sharply
BPC data shows a sharp rise in fuel import costs. In April 2025, the cost was Tk 4,195 crore. It rose to Tk 8,135 crore in April this year.
In May, fuel import costs reached Tk 13,485 crore. The figure was Tk 4,182 crore in May last year. In August, the cost rose to Tk 7,603 crore from Tk 2,740 crore 62 lakh a year earlier.
From March to August, BPC incurred losses of Tk 22,875 crore 66 lakh from its own funds. The losses included Tk 7,866 crore in April and Tk 6,198 crore in June.
BPC also warned of further financial pressure. Relevant sources said the loss could exceed Tk 5,000 crore in September.
BPC seeks government support
The corporation wrote to the Secretary of the Energy and Mineral Resources Division on September 8. It sought government support for the losses incurred from March to August.
BPC also proposed adjusting domestic fuel prices with international market prices. It proposed reducing or withdrawing fuel duties and taxes until the war situation improves.
A high-level government meeting was held last week to discuss BPC’s financial crisis. Finance Minister Amir Khosru Mahmud Chowdhury chaired the meeting.
The meeting found that BPC had funds to cover only 15 days of fuel imports. A decision was made to provide Tk 4,000 crore to Tk 5,000 crore in assistance. However, the money had not been provided at the time of the notification.
BPC borrowed Tk 19,500 crore
BPC said it borrowed about Tk 19,500 crore from banks this year for fuel imports. It currently has about Tk 12,368 crore in its bank accounts.
The corporation said it needs around Tk 20,000 crore to cover fuel import costs for two months. This shows the pressure created by higher import costs.
Diesel causes major losses
According to the notification, BPC is losing about Tk 89 per litre on diesel at current international prices. The daily loss from diesel is around Tk 109 crore.
The notification said diesel alone could cause an annual loss of about Tk 40,000 crore. It added that the Tk 20 per litre price increase could reduce BPC’s annual losses by about Tk 10,000 crore.
The new fuel prices are now in effect across the domestic market. BPC’s financial position and future fuel price adjustments will depend on import costs and related government measures.
