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Markets

Petroleum dealers defer strike as ‘understanding’ reached with govt

  • PPDA had earlier called for a strike starting Saturday, arguing that the government needed to revise the margins available to dealers per litre sale of fuel
Published July 21, 2023

The Pakistan Petroleum Dealers’ Association (PPDA) deferred its strike till Monday (July 24), saying it has reached an understanding with the government.

The PPDA had earlier called for a strike starting Saturday, arguing that the government needed to revise the margins available to dealers per litre sale of fuel. It said keeping in mind inflation and rising cost of doing business, the current margin no longer made sense. The PPDA also said smuggling of oil had hit its sales as well.

Following an extensive meeting on Friday, however, the PPDA put off its strike for two days.

In a letter, a copy of which is available with Business Recorder, the PPDA said that based on the discussion, “it is agreed that there should be an upward reasonable revision in dealer’s margins”.

“The increased margins will be ascertained based on actual data acceptable to all concerned stakeholders. This revised margin number will be announced within the next ‘forty-eight’ hours. i.e Monday July 24, 2023.

“In view of this understanding the PPDA strike is deferred till Monday 24, July 2023.”

During a press conference at the Karachi Press Club on Thursday, PPDA spokesperson Abdul Sami Khan said the current margin per litre stands at Rs6, but dealers are demanding an increase to bring it to Rs11 per litre.

The spokesperson also criticised the government for ignoring significant smuggling of Iranian petrol and diesel into the country.

Comments

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Sheeraz Jul 22, 2023 12:29am
I think irani petrol smuggling should be legalized with optimum tax over its transportation. In this way cheap petrol can be available and legally allowed on pumps.
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Sunjeshni Jul 22, 2023 03:17am
I want to play that game
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