Petroleum sales surge 18pc in October

KARACHI: Pakistan recorded an 18 per cent increase in petroleum product sales in October this fiscal year, driven by government action against oil smuggling and a boost in economic activity.

According to oil sales data, petroleum product sales reached 1.49 million tonnes (MT) in October, compared to 1.27MT in the same month of the previous fiscal year. On a monthly basis, October saw a 17 per cent rise in petroleum sales compared to September this fiscal year.

During the first quarter of this fiscal year, petroleum product sales rose slightly by 2.0 per cent to 5.18MT, up from 5.08MT in the corresponding quarter of the last fiscal year.

The rise in petroleum sales was largely due to a substantial 39 per cent increase in high-speed diesel (HSD) sales in October.

Due to the high HSD sales in October, the Oil and Gas Regulatory Authority (Ogra) anticipates further growth in demand.

The increased sales in October have depleted stock levels, previously reported as high by refineries, leaving only 19 days of national consumption, according to the latest sales and stock report, Ogra said in a statement a few days ago.

In the Monthly Product Review Meeting for November 2024, held on October 22 with attendance from oil industry CEOs/MDs and representatives from the Ministry of Petroleum, it was decided to permit the import of around 266,000MT to meet the shortfall in November and replenish depleted stocks.

Compared to HSD sales, petrol sales rose by only 5.0 per cent, while furnace oil sales declined by 17 per cent in October due to reduced consumption for power generation.