KARACHI: Petroleum dealers will meet Minister of State for Petroleum Musadik Malik on Monday (today) for an agreement on increasing their profit margin.

The dealers are seeking a bigger share in the petroleum revenue and had threatened to shut petrol stations across the country if their demands are not met.

On Friday, the strike was deferred for two days after a meeting between the Pakistan Petroleum Dealers Association (PPDA) officials and Mr Malik reached an agreement to increase the dealers’ profit margin.

While talking to Dawn on Sunday, a PPDA member said their delegation was scheduled to meet the minister at 4pm on Monday.

No petrol stations would be closed till the meeting and any further plan of action will be decided after the meeting’s outcome, the PPDA official said.

The dealers have asked the government to double their profit margin — from the current level of 2.4pc to 5pc.

According to PPDA Chairman Abdul Sami Khan, the consumer price index had increased to 38pc while electricity and other utility rates had also spiked due to the Kibor rate.

He said due to these hikes, the dealer’s commission on petrol has completely evaporated.

Mr Khan recalled that it was decided in 1999 that dealers would get a 5pc margin, but the government fixed Rs6 per litre on oil products which come to 2.4pc on which the dealers are not satisfied.

Published in Dawn, July 24th, 2023