Islamabad April 4 2022: Sales of petroleum products decreased by 39 percent year on year to 1.11 million tons during March 2023 on higher fuel prices and slowdown in economic activity, according to data shared by OCAC.
Government of Pakistan significantly increase prices of petroleum product in March to pass on the steep rupee devaluation and collect Petroleum Development Levy to meet IMF conditions. Motor Spirit prices increase by 79.85 percent on year on year and 3.57 percent on month on month to average PKR 270.91 per liter in the month of March 2023. On the similar pattern Diesel prices doubles on year on year and increased by 6.05 percent on month on month to average PKR 288.62 per liter during the month.
Petroleum sales are down by 9 percent on month on month basis. During 9MFY23, overall petroleum sales decreased by 21 percent year on year to 12.80 million tons compared to 16.26 million tons during the same period last year.
Sales of Motor Spirit (MS) during March 2023 increased by 1 percent MoM to 558 thousand tons compared to 551 thousand tons during February 2023. On a YoY basis, the sales of MS were also decreased by 28 percent.
During 9MFY23, the MS sales have been witnessed at 5.59 million tons compared to 6.68 million tons during the same period last year. The decline in sales is witnessed due to lower demand on the back of higher prices compared to last year.
The same trend has been witnessed in the sale of High-Speed Diesel (HSD), which is down by 17 percent month on month to 396 thousand tons during March 2023.
During 9MFY23, the HSD sales witnessed 4.82 million tons compared to 6.38 million tons during the same period last year. The decline in sales is witnessed due to lower demand on the back of higher prices compared to last year.
Sales of Furnace oil (FO) were also down by 28 percent month on month during March 2023 to 85 thousand tons.
During 9MFY23, the FO sales witnessed 1.79 million tons compared to 2.67 million tons during the same period last year. The decline in sales is witnessed due to lower demand from power producers.
