The Federation of Pakistan Chambers of Commerce & Industry (FPCCI) has raised the alarm over the unprecedented hike in petroleum prices, calling for an immediate cancellation of the Rs. 161 per litre Petroleum Development Levy (PDL) to provide relief to the industrial sector.
FPCCI President Atif Ikram Sheikh warned that the sudden surge in fuel costs poses an existential threat to Pakistan’s economy, risking severe de-industrialization, paralyzing supply chains, and triggering hyperinflation.
He highlighted that petrol prices have soared by Rs. 137.23 to an all-time high of Rs. 458.40 per litre—a 42.7% increase—while high-speed diesel (HSD) jumped Rs. 184.49 to Rs. 520.35 per litre, a staggering 55% rise. Accounting for the earlier increase in March 2026, the cumulative fuel price increase now stands at 77% within a single month.
Sheikh emphasized that passing such a massive hike directly onto consumers and businesses without consultation is unsustainable. He warned that diesel’s 55% surge will cripple manufacturing, erode export competitiveness, and force international buyers toward regional competitors.
FPCCI Senior Vice President Saquib Fayyaz Magoon elaborated that the impact on key sectors will be catastrophic. Textiles and manufacturing will face skyrocketing freight costs, driving factory closures and production cuts. Agriculture, amid harvest season, may see operations of tractors, tube wells, and harvesters become financially unviable, threatening national food security.
SMEs—the backbone of Pakistan’s economy—will be hardest hit, facing immediate liquidity crises as operational costs double overnight. Magoon further noted that the spike in diesel prices will cascade through logistics and supply chains, inflating costs of essential food items, medicines, and raw materials.
He criticized government-proposed targeted subsidies as historically inefficient and insufficient to shield the industrial sector from this monumental economic shock.
FPCCI has called for emergency dialogue with the Ministry of Finance and Ministry of Petroleum, warning that without immediate remedial action, Pakistan risks socio-economic instability, mass bankruptcies, and unprecedented job losses.
you are no one to dictate the government…
previously the export sector was denied imposing of sales tax on input and FTR
and the exports are down 👎 now,so forget anything because the government is “stabilizing” the economy… you know nothing… you are just slaves
What sort of stabilisation requires govt. collect rs 161 in levy you moron ?? Wasn’t 100 rs in PDL enough already ?? What the govt. couldn’t lower its PDL to rs 50 to hold the inflation storm that’d ruin already fragile purchasing power ?