Pakistan witnesses 13.5% decrease in sales of petroleum product in August

The sales of oil marketing companies (OMCs) in Pakistan experienced a significant decline of 13.5 percent in August 2024, totaling 1.22 million metric tons (MTs), compared to 1.41 million MTs in the same month the previous year, according to data released by the Oil Companies Advisory Council (OCAC).

Despite this year-on-year decrease, there was a slight 1.6 percent increase in sales compared to July 2024, when sales were recorded at 1.2 million MTs.

For the first two months of the current fiscal year (2MFY25), cumulative sales amounted to 2.41 million MTs, representing a 12.5 percent drop from the 2.76 million MTs sold during the same period in the previous fiscal year.

A breakdown of sales by product reveals that Motor Spirit (MS) sales in August 2024 decreased by 7 percent, reaching 0.62 million MTs. High-Speed Diesel (HSD) sales saw a sharper decline of 16.9 percent, totaling 0.46 million MTs, while Furnace Oil (FO) experienced the most significant drop of 45.3 percent, with sales plummeting to just 64,501 MTs.

Among individual companies, Pakistan State Oil (PSO) recorded the most substantial decline, with its total sales falling by 27 percent to 0.53 million MTs compared to the same month last year. Attock Petroleum Limited (APL) followed closely, with a 24 percent reduction in sales to 0.11 million MTs. Shell Pakistan Limited (SHEL) also faced a downturn, with its sales decreasing by 6 percent to 0.09 million MTs, according to data from Mettis Global.

These figures underscore the ongoing challenges faced by the oil marketing sector in Pakistan, as fluctuating demand and economic conditions continue to impact sales volumes.