KARACHI: Pakistan’s petroleum dealers have issued a stern warning to the federal government, threatening to suspend the sale of petrol and diesel immediately after Eid al-Fitr if their longstanding demand for revised profit margins is not met.
The ultimatum was delivered by the leadership of the Pakistan Petroleum Dealers Association (PPDA) at a press conference held at the Karachi Press Club on Friday, March 13, 2026.
The PPDA has given the government until March 26 to increase dealers’ profit margins from the current 2.59 percent to 8 percent, a demand that has gained urgency in the wake of a steep Rs55-per-litre hike in petrol and diesel prices. At present, dealers earn approximately Rs8.64 per litre on fuel sales, a figure the association describes as wholly inadequate given the rising cost pressures on the sector.
Speaking at the press conference, PPDA leaders Abdul Sami Khan, Tariq Hasan, and Ameer Khan Masood argued that the combined effect of the petroleum levy and recent price increases has placed an unsustainable burden on both dealers and end consumers. The association further accused oil marketing companies (OMCs) of deliberately capping oil supplies to retail outlets, a practice it claims has led to fuel shortages at numerous pumps across the country.
The PPDA leadership also called for a formal government investigation into the conduct of OMCs, alleging that these companies have reaped significant inventory gains from profits on old fuel stocks, profits dealers say have come at the expense of those operating at the retail level.
This is not the first time dealers have raised these concerns. According to the PPDA, they have been pressing the government for upward margin revisions for over two years, with little to no response. Industry observers warn that a post-Eid strike, if carried out, could cause considerable disruption to fuel supply chains at a time when transport and economic activity typically surge.
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