Petroleum dealers call off planned strike as govt okays increase in margin

The Pakistan Petroleum Dealers’ Association (PPDA) on Friday withdrew its call for a nationwide strike after the government approved an increase in petroleum dealers’ margins.

The Economic Coordination Committee (ECC), chaired by Finance Minister Muhammad Aurangzeb, approved a revision in the dealers’ margins on motor spirit and high-speed diesel, the Finance Ministry said in a statement.

The ministry did not disclose the revised margin, but PPDA Chairman Malik Khuda Baksh said the government has increased it by Rs1.34 per litre, taking the total margin to Rs10 per litre.

The dealers had announced a strike from Saturday, demanding an eight per cent increase in their margin. Their existing margin stood at Rs8.64 per litre.

Following the government’s decision, the PPDA called off the planned strike.

Bakhsh said petroleum prices could return to a seven- or 15-day revision cycle as tensions in the Middle East ease, instead of the current daily price-setting mechanism.

The government had rejected the dealers’ demand for monthly adjustments in petroleum prices on Thursday and said it would continue with the daily pricing system.