According to reports, petrol and other products sales fell by 28 percent in September 2023 compared to the previous month, reaching their lowest level since March 2020.
According to OCAC data, this fall was mostly due to record high pricing and decreasing demand from the electricity sector.
Hascol Experienced the Greatest Petrol Sales Dip
Hascol Petroleum (APL) experienced the greatest dip during this time period, with a 32% drop in sales, followed by a 30% drop in sales for Pakistan State Oil (PSO) and an 18% drop in sales volumes for Shell Pakistan (Shell) and Attock Petroleum Limited.
Furthermore, when compared to the same period the previous year, petrol sales decreased by 34%. This dip was caused by rising oil prices and a drop in demand.
In September 2023, the government hiked petroleum product prices in response to growing international market prices and rupee depreciation.
Increase In Prices and Its Impacts
During September 2023, the average price of Motor Spirit (MS) increased by 12.25 percent, while High-Speed Diesel (HSD) prices increased by 12.30 percent.
Motor Spirit (MS) sales fell by 23% in September 2023 compared to the previous month, totaling 0.52 million tons.
This fall was fueled by expectations of more price hikes, and year-on-year MS sales fell 18%.
A similar pattern was observed in High-Speed Diesel (HSD) sales, which fell by 28% month on month, reaching 0.39 million tons in September 2023.
This dip was mostly due to lower demand from the transportation and agriculture sectors, with HSD sales falling by 24% compared to the same period the previous year.
Dip in Furnace Oil Sales
Furthermore, sales of furnace oil (FO) fell by 28 percent month on month in September 2023, falling to 0.08 million tons.
This fall was related to lower demand from power generators, representing a significant 72 percent decrease from September 2022 sales.
Furthermore, petroleum sales fell 16 percent in the first quarter of 2023, totaling 3.77 million tons, compared to 4.49 million tons in the same time the previous year.
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