Oil sales down 26pc

Published August 3, 2022
HYDERABAD: Motorcyclists waiting in a queue to fill fuel tanks of their bikes at a petrol pump on Monday. An increase in petrol and diesel prices since June 2022 has resulted in lower demand for petroleum products.—APP
HYDERABAD: Motorcyclists waiting in a queue to fill fuel tanks of their bikes at a petrol pump on Monday. An increase in petrol and diesel prices since June 2022 has resulted in lower demand for petroleum products.—APP

KARACHI: The first month of FY23 began with a 26 per cent year-on-year (YoY) decline in oil sales to 1.442 million tonnes, the lowest since February 2021.

Oil sales in July 2021 and June 2022 were 1.938m tonnes and 1.936m tonnes, respectively. The drop in sales of furnace oil (FO), high speed diesel (HSD), and petrol by 5pc, 38pc, and 27pc, respectively, to 350,000 tonnes, 444,000 tonnes, and 594,000 tonnes in July from 367,000 tonnes, 721,000 tonnes, and 808,000 tonnes in July 2021 was the main reason for the overall drop in country’s oil sales.

Saad Ziker of Top Line Securities said depressed oil sales mainly occurred due to Eidul Azha holidays during the first half of July, when inter-provincial transportation activity subsided, leading to low HSD sales, and the monsoon season across the country resulted in lower traffic on the roads.

Furthermore, he believed that the 26pc and 41pc increases in petrol and diesel prices since 2June 2022 resulted in lower demand for petroleum products and an increase in use of public transportation and carpooling.

He predicted that oil sales would fall by 15-20pc YoY in FY23, owing to low agricultural growth, a likely decline in auto sales, and an increase in petroleum prices.

Published in Dawn, August 3rd, 2022

Opinion

Editorial

Beyond the pale
Updated 09 Aug, 2022

Beyond the pale

When such ugliness is unleashed, everyone at some point suffers the fallout.
Burying Gaza
09 Aug, 2022

Burying Gaza

IT is a sad commentary on the politics of the Middle East that even its most tragic human stories get defaced and...
Celebrate the athlete
09 Aug, 2022

Celebrate the athlete

TALK about delivering on your promise: javelin thrower Arshad Nadeem did that in the grandest style at the...
An unseemly dispute
08 Aug, 2022

An unseemly dispute

THERE is clarity, but perhaps not of the kind that Chief Justice of Pakistan Umar Ata Bandial hoped to achieve when...
Unfair on taxpayers
Updated 08 Aug, 2022

Unfair on taxpayers

Unfair move has drawn valid criticism as it coincides with drastic increase in income tax on salaried people and corporates.
Polio nightmare
08 Aug, 2022

Polio nightmare

AS if the resurgence of polio in southern KP were not enough, officials and international monitoring bodies must now...