Petroleum sales rise 4pc in 7MFY25

KARACHI: The sale of petroleum products grew by 4.0 per cent to 9.41 million tonnes in the first seven months of the current fiscal year, compared to 9.07 million tonnes during the same period last year.

The petroleum sales industry remained stable at 1.38 million tonnes in January 2025, nearly unchanged from the corresponding month of the previous fiscal year, according to oil sales data released on Tuesday.

High-speed diesel (HSD) sales recorded a year-on-year (YoY) growth of 17 per cent, reaching 0.6 million tonnes in January 2025, compared to 0.51 million tonnes in the same month last year. This increase was attributed to the curtailment of smuggled diesel from Iran and lower retail prices.

Meanwhile, petrol sales saw a modest YoY uptick of 1.0 per cent to 0.62 million tonnes in January 2025. Furnace oil (FO) sales volumes plunged by 68 per cent YoY, dropping to 0.06 million tonnes due to reduced demand for FO-based power generation in the country.

On a month-on-month (MoM) basis, petroleum sales rose by 8.0 per cent in January, driven by the reopening of schools after winter vacations and captive power plant users shifting towards FO-based generation amid higher gas prices.

Data showed that petrol and HSD sales increased by 10 per cent and 5.0 per cent MoM, respectively, while FO dispatches surged by 40 per cent MoM in January 2025. During the first seven months of the current fiscal year, petrol and HSD sales posted growth, whereas FO sales declined. Sales of petrol, HSD, and FO stood at 4.37 million tonnes, 4.06 million tonnes, and 0.41 million tonnes, respectively.

A breakdown of sales by oil marketing companies (OMCs) showed that Pakistan State Oil’s (PSO) sales declined by 10 per cent YoY, totalling 0.59 million tonnes in January 2025. PSO’s sales of motor spirit (MS), HSD and FO fell by 11 per cent, 5.0 per cent, and 88 per cent YoY, respectively.

Similarly, Attock Petroleum Limited’s (APL) offtake decreased by 14 per cent YoY to 0.13 million tonnes. In contrast, Shell and Hascol’s dispatches improved by 4.0 per cent and more than doubled (2.2x) YoY, respectively.

From July to January of the current fiscal year, PSO and APL’s sales dropped by 5.0 per cent and 11 per cent YoY, respectively, while Shell and Hascol’s offtake increased by 6.0 per cent and 31 per cent YoY.

PSO’s market share declined by 4.2 percentage points, falling to 45.5 per cent from 49.7 per cent in the same period last year. APL’s market share also dropped by 1.5 percentage points to 8.7 per cent YoY.

In contrast, Gas and Oil Pakistan Ltd (GO) saw its market share rise to 9.6 per cent in the first seven months of FY25, compared to 3.4 per cent in the corresponding period last year. Meanwhile, other OMCs experienced a 1.2 percentage point decline in market share, settling at 25.8 per cent.

Petroleum development levy (PDL) collection reached Rs654 billion in the first seven months of the current fiscal year. The federal government has set a PDL collection target of Rs1,281 billion for FY25.