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Petroleum dealers demand govt increase margins

March 14, 2026
in Markets
Petroleum dealers demand govt increase margins

KARACHI: Pakistan Petroleum Dealers Association (PPDA) on Friday demanded of the government to increase the dealers’ margin to eight percent, warning that petrol pumps across the country will be shut down from March 27 if their demand is not accepted by March 26.

Addressing a press conference at the Karachi Press Club, PPDA Chairman Abdul Sami Khan, Vice Chairman Tariq Hassan and other representatives said it has become impossible for dealers to continue operating petrol pumps under the existing margin due to rising operational costs.

They said petroleum product prices have witnessed an extraordinary increase of Rs 55 last week and it has not only burdened the public but also created serious financial difficulties for petroleum dealers as now they have to pay more for the purchase or petroleum products. The association criticized the continuous increase in petroleum levy and product prices, calling it unjustified.

The dealers claimed that the price of petroleum products has increased by about Rs55 per litre recently, of which Rs21 per litre was added as petroleum levy, questioning where the remaining amount had gone.

They also accused oil marketing companies of imposing a quota system and capping supplies, alleging that dealers are not being provided petroleum products according to their demand. The association further alleged that some companies were involved in illegal hoarding of fuel.

The representatives said the association has written letters to the President, Prime Minister, Chief of Army Staff and the Petroleum Minister, requesting an inquiry into the matter. They demanded that the investigation should include senior officials as well as representatives of the Pakistan Petroleum Dealers Association.

Tariq Hasan said strict legal action should be taken against those found responsible, adding that if any petroleum dealer is also found involved in irregularities, action should be taken against them as well.

He reiterated that the dealers’ margin should be increased to eight percent, arguing that the cost of investment and operations has risen significantly over the past few years. He said the association has been requesting the petroleum minister for the past two years to revise the margin, but no concrete steps have been taken.

The dealers urged the government to immediately accept their demand, warning that if the petroleum ministry fails to increase the margin to eight percent by March 26, petrol pumps across Pakistan will be closed from March 27, 2026.

Tariq Said as the Eid is scheduled next week, so the dealers have decided to go on strike by March 27, 2026.

Copyright media, 2026

Tags: Abdul Sami Khanfuel hoardingoil marketing companiesPakistanPakistan Petroleum Dealers Associationpetrol pricespetrol pumpsPetroleum dealersPetroleum dealers marginpetroleum levyPetroleum Ministrypetroleum product pricespetroleum sectorPPDATariq Hasan
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