Anticipated relief awaits inflation-hit masses as petroleum product prices are set to undergo a significant decrease, effective May 16. Reports indicate a substantial drop in petrol prices by Rs12 per litre, with diesel prices expected to follow suit with a Rs9.70 per litre reduction.
Globally, petrol prices have seen a downward trend, dropping by $6.32 per barrel to $99.93 per barrel, while diesel prices have fallen to $4.97 per barrel, signaling a positive market shift.
This impending reduction brings relief to many, following a similar decrease in petroleum prices on May 1. On that date, the Shehbaz Sharif-led government lowered petrol prices by Rs5.45, bringing the new rate to Rs288.49 per litre. Additionally, the price of high-speed diesel (HSD) was reduced by Rs8.42 per litre to Rs281.96.
However, amidst these developments, data from the Oil Companies Advisory Committee (OCAC) and Topline Securities reveal a concerning trend in petroleum product sales. Over the first 10 months of the current financial year, a significant decline of 11 percent has been recorded in sales.
Comparing July 2023 to April 2024 with the corresponding period of the previous fiscal year, the sale of petroleum products has decreased from 13,970,000 tons to 12,443,000 tons.
April figures present a similarly bleak outlook, with sales totaling 1,104,000 tonnes, marking a 6 percent decrease from the same month last year and a 4 percent drop from March this year.