During the month of April 2022, the highest ever monthly sales of 919,442 MT High-Speed Diesel (HSD) were recorded, registering an increase of 17 percent compared to the same period last year (Apr ‘21), and surpassing the 900,101 MT benchmark achieved in May 2016, owing to commencement of the harvesting season and increased agricultural activity.
Similarly, sales of Motor Spirit (MS) petrol, were up by 14 percent (vs Apr ’21) due to a rise in automobile sales, while Furnace Oil sales increased by 126 percent (vs Apr ’21) on account of higher demand from IPPs for power generation.
The demand for finished petroleum products in Pakistan is significantly higher than the local production and the industry relies heavily on imports in order to meet the demand.
As per data received and compiled by Oil Companies Advisory Committee (OCAC), the impressive HSD sales of 919,442 MT in April 2022 were complemented by a staggering sales hike in Machike-fed area by more than 40 percent (33,000 MT) due to harvesting season in Punjab.
As the world came out from the claws of the pandemic, the rebound in demand was met with acute global HSD shortage due to geopolitical tension (Russia-Ukraine conflict) starting in Feb 2022, however, the Oil Industry in Pakistan increased its efforts manifold to ensure availability of ample stocks of petroleum products nationwide and timely replenishment in order to serve the country and contribute to the economic development despite the grave challenges in the international market, said the market experts.
The oil industry appreciates and acknowledges the role of the Ministry of Energy, Oil and Gas Regulatory Authority (OGRA), and Ministry of Finance for their continued support. The joint efforts enabled the oil sector (Oil Marketing Companies and Refineries) to achieve this remarkable milestone, reports OCAC.
