KARACHI: The sales of oil marketing companies in Pakistan have increased by 18 percent on year-on-year basis in FY21 to 19.4 million tons, a sharp recovery from last year (down 12 percent) which was impacted due to COVID-19 linked lockdowns.
Motor Spirit (MS) sales have reached to an all-time high of 8.2 million tons, up 12 percent on YoY. This was on the back of increased economic activity and rising car/bike sales.
High Speed Diesel (HSD) sales have also increased by 16 percent on YoY, to reach 7.7 million tons in FY21. Furnace Oil (FO) sales have jumped up 53 percent on YoY in FY21 due to increased demand from FO based power plants, Umair Naseer at Topline Securities said.
In Jun-2021, Pakistan oil sales are up by 15 percent on YoY and 4 percent MoM. MS sales are up 4 percent on YoY, while HSD sales remained similar YoY. FO sales are up 176 percent on YoY as reduction in Hydel power generation and scheduled closure of Engro RLNG Terminal increased FO demand. PSO, being a dominant player in FO business, was able to improve its market share from 44 percent in FY20 to 46 percent in FY21 as company’s oil sales increased by 23 percent on YoY. In June-2021, sales clocked in at 858000 tons, up 2 percent on YoY – this is the highest monthly sales recorded by PSO in FY21.
SHEL’s sales have increased by 35 percent on YoY while APL sales remained largely similar YoY during June 2021.
HASCOL’s market share has dropped to 4.1 percent in FY21 compared to 6.5 percent in FY20. Similar trend was also seen in Jun 2021 as liquidity and financial constraints impacted company’s operations.
Copyright Business Recorder, 2021