Petroleum product sales declined by 25% in FY19

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Petroleum product sales declined by 25% in FY19

According to the latest Oil Companies Advisory Council(OCAC) report, POL products sales during FY19 declined by 25%YoY to 18.3 million tons. During the year, Furnace Oil sales significantly declined by 58%YoY due to lower demand from the power sector.

Excluding Furnace Oil, Petroleum sales also decreased during the year, recorded at 15.3 million tons, marking a 12% decline on a yearly basis. The main reason remains 19% decline in High-Speed Diesel sales because of economic contraction along with an increase in smuggled Iranian Products.

Petrol(Gasoline) sales during the year remained stagnant at 7.4 million tons which remain in contrast to 12% volumetric increase witnessed in FY18.

PSO remains the Biggest Loser

Pakistan State Oil, the largest Oil Marketing Company continue losing its market share, which clocked in fell to 42% in FY19 as compared to 49% market share in FY18.

The company’s sales volumes stood at 7.7 million tons in FY19, 35% lower from 12.0 million tons in FY18. This was primarily because of 69% yearly declines in furnace oil sales.

Furthermore, the PSO market share in Petrol sales declined to 37% from 39% and to 40% from 43% for Diesel.

The unexpected decline for HASCOL

HASCOL, which has been on a growth trajectory for the past many years, witnessed a decline in its market share which fell to 9% from 13% for Petrol Sales and for Diesel Sales it fell to 12% from 15% noted in last year.

HASCOL recorded a 28% decline in Petrol Sales Volume while Diesel Sales declined by 37%.

Market Share Improves for SHELL and Attock Petroleum

During the period Jul’18 – Jun’19, Attock Petroleum Ltd’s recorded sales volume at 706,000/758,000/413,000 tons for Petrol/High-Speed Diesel/Furnace Oil in FY19. The company’s Petrol sales increased by 10%YoY while sales for Diesel and Furnace Oil declined by 8% and 35%, respectively.

APL increased its market share of Petrol/Diesel/Furnace Oil from 9%/9%/9% in FY18 to 10%/11%/14% in FY19.

SHELL Pakistan sales volume for Petrol and High-speed Diesel was recorded at 931,000tons and 548,000 tons, respectively. During the year the company’s market share in Petrol and HSD increased to 13% and 8%, respectively, from 11% and 6%, respectively, in FY18.

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