Pakistan Petroleum Dealers Association (PPDA) has declared a complete shutdown of petrol pumps from July 18, 2022. This strike is due to protest of the rising cost of doing business and falling dealers’ margins. The PPDA association demands an increase in profit margin and the minimum pay of Rs. 25,000.
PPDA Chairman Statement About This Strick:
The chairman of the Pakistan Petroleum Dealers Association (PPDA) at a meeting discussed the current dealer’s margin that forced petroleum dealers to shut down their businesses. There are various factors that affect the dealer’s margins. They demanded that the dealer’s margin should enhanced to 6 percent.
Cost Of Electricity:
He said that the high price of electricity had significantly reduced their profit margin. Long period load shedding is another factor that affects the margin. Because it added high costs of generators which has further decreased the dealer’s margin.
Petroleum Distribution Issue:
Another major factor that affected their business adversely is that Petroleum distributors are facing major hurdles due to the heavy monsoon season. The heavy rainwater has submerged oil installation areas in Kemari, Korangi, and Port Qasim, Karachi and the process of petrol distribution has halted in Karachi. Due to the poor drainage system, the movement of oil tankers has come to a standstill. The crisis has had a direct effect on the distribution of petroleum in Karachi and other parts of the nation.
The chairman continued by saying that the protest shutdown will last until the demands were met because the fuel stations could not continue the supply of petroleum while maintaining continuous losses.
