KARACHI: Total sales of petroleum products in the country declined by 7.0 percent on year-on-year basis to 1.24 million tons during December 2023.
“The reduction in sales comes on account of surge in price of petroleum products, economic slowdown and lower demand of furnace oil (FO) amid reliance on new coal-based power plants”, Muhammad Iqbal Jawaid at Arif Habib Limited said.
The sales of MS dropped by 8.0 percent in December 2023, clocking in at 0.57 million tons. Likewise, HSD sales volume also decreased by 2.0 percent YoY, reaching 0.51 million tons during the same period, whereas, furnace oil (FO) sales plunged by 36 percent YoY to 0.08 million tons in December 2023.
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On MoM basis, petroleum sales reported a fall of 10 percent during December 2023. The sales of MS remained unchanged at 0.57 million tons. However, HSD dispatches plummeted by 21 percent MoM owing to peak demand in November 2023 for Rabi season. Likewise, offtake of FO declined by 4.0 percent MoM in December 2023.
During the first half of FY24, sales of total petroleum products reported a decline of 15 percent YoY to 7.68 million tons compared to 9.03 million tons in the same period last year.
Product-wise data showed a reduction in all categories; the volumetric sales of MS, HSD, and FO clocked in at 3.57 million tons, 3.16 million tons and 0.56 million tons, respectively.
Company-wise analysis depicts that sales of PSO reduced by 5.0 percent YoY in December 2023, which is on account of fall in sales of MS, HSD, and FO by 4.0 percent, 8.0 percent, and 11 percent, respectively. The SHEL witnessed YoY drop of 18 percent. Meanwhile, APL and HASCOL showcased a jump sales of 6.0 percent YoY each.
During the first half of FY24, petroleum sales of PSO, SHEL, and APL declined by 17 percent, 19 percent, and 6.0 percent YoY, respectively. On the other side, HASCOL’s offtake witnessed a growth of 27 percent YoY in the first half of FY24.
During the first half of FY24, PSO’s market share dropped by 1.3 percent to 50.1 percent vis-a-vis 51.4 percent in the same period last year. Whereas, the market share of SHEL dropped by 0.4 percent recording at 7.1 percent YoY in the first half of FY24. Moreover, the market share of APL and HASCOL in the first half of FY24 increased to 10.1 percent (9.2 percent in the same period last year) and 2.6 percent (1.8% in the same period last year), respectively. Meanwhile, the market share of other OMCs remained stable at 30.01 percent in the first half of FY24.
Copyright Business Recorder, 2024
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