Petroleum dealers call off strike

KARACHI: Pakistan Petroleum Dealers Association (PPDA) on Sunday cancelled the strike call given for Monday after the government agreed to raise their margin by 100 percent.

After talks with Dealers Association’s representative Abdul Sami Khan at Pakistan State Oil Office, State Minister for Petroleum Musadik Malik said all the issues were resolved, adding that all the agreed points would be taken to the federal cabinet and implemented once endorsed by the cabinet.

The dealers’ representative chairman PPDA Abdul Sami Khan announced to call off the strike given by the association after successful talks with the government. Although, the government and PPDA did not divulge the agreed points, the sources said government agreed to raise the dealers’ margins by 100 percent from Rs3.5 to Rs7.

As per agreement, the government would raise dealers’ margin in two phases - 50 percent on July 31 and remaining 50 percent on August 15, said the sources. They said though government has agreed to increase the dealers’ margin but it is yet to decide as to who will foot the margin either government or consumers.

It is pertinent to mention the dealers association PPDA had announced to observe strike on Monday by closing down the petrol pumps for raising margin as cost of doing business jumped massively in recent weeks making it difficult for them to operate smoothly.