Nine-Cent Diesel Price Increase Sparks Freight Cost Concerns

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On July 16, Montenegro’s regulated eurodiesel price saw an increase of €0.09, reaching €1.67 per litre, marking a weekly rise of approximately 5.7 percent. Alongside this, heating oil prices rose by seven cents to €1.58, while the prices for Eurosuper 95 and 98 climbed by two cents to €1.64 and €1.68, respectively.

The Road Hauliers’ Association issued a warning on July 17, indicating that transport tariffs could potentially rise by as much as 25 percent if government support is not forthcoming. Association president Đorđije Lješnjak noted that previously discussed assistance from the Ministry of Energy and Mining has yet to be implemented and highlighted that carriers have lost access to part of the excise-refund mechanism.

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This proposed increase in freight costs is a cautionary signal from the industry rather than an official adjustment to tariffs. It reflects the operators’ unwillingness to absorb rising costs associated with fuel, wages, maintenance, and financing. Given Montenegro’s reliance on road freight for importing food, consumer goods, and construction materials, the situation is particularly critical due to geographic limitations on alternative transport methods.

A significant increase in transport tariffs would have far-reaching implications for various sectors, including supermarket distribution, hotel supplies, waste collection, and construction logistics during the busy peak season. This development may also exacerbate inflation, which stood at 3.6 percent year-on-year in June, even if retailers initially mitigate some of the increased costs by absorbing them.

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The next review of regulated fuel prices is scheduled for July 20, with new prices expected to take effect on July 21. The weekly recalculation process aims to align domestic prices more closely with international market trends but has also introduced reduced cost certainty for carriers and businesses engaged in fixed-price delivery negotiations.

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