KARACHI:
The Pakistan Petroleum Dealers Association (PPDA) has warned that petrol pumps across the country will shut down indefinitely from March 27 if the government fails to increase dealers’ margin to 8 per cent.
This was announced by the association on Friday during an emergency press conference at the Karachi Press Club. PPDA chairman Abdul Sami Khan said oil traders would resist if their demands were not met.
“We were promised an eight percent margin by the government, but due to rising oil prices, our margin has now dropped to 2.68 percent, making it impossible for us to continue the business,” he said.
He called on the government to meet its commitment and warned that dealers would close petrol pumps across the country if the demand was not accepted.
PPDA Vice Chairman Tariq Hassan also expressed concern over the possibility of another fuel price hike this week, claiming that petrol prices could increase by Rs50 to Rs60 per litre.
Another official, Waseem Qadri, said if the margin was fixed at eight per cent, dealers’ earnings would increase from around Rs 8 per liter to approximately Rs 25 per litre.
Petroleum traders also claimed that Iranian diesel and gasoline were still widely sold in the country, affecting the local fuel market.
Last week, on March 4, the All-Pakistan Petrol Pump Owners Association warned of a possible shortage of petroleum products in the country and sought immediate government intervention.
In the letter to the Prime Minister, the association alleged that oil marketing companies had introduced a quota system and were not supplying petrol pumps with the required amount of fuel.
It said that despite placing orders, supplies were delayed and tankers were forced to wait for hours. The association warned that creating an artificial shortage could lead to public panic.
