KARACHI: The sudden and massive jump in petroleum prices ahead of the scheduled announcement has resulted in huge inventory gains for the oil marketing companies (OMCs) as well as fuel retailers.
For the last eight days, buyers have set their eyes on the petrol pumps. They throng the pumps in huge numbers in case the government increases the rates prior to the fortnightly price change at 12am or any news swirling around in the markets regarding a possible rate hike at any time.
In this panicky situation, petrol pump owners are the main beneficiaries as buyers try their best to fill petrol in their vehicles or take it in plastic containers – often used cooking oil and soft drink bottles – at a reduced rate to make some savings. Not every pump offers this “sympathetic service” to consumers as it is illegal to sell fuel in containers.
Read also: Pakistan’s economic woes since 2008
Petroleum dealers usually hold a 15,000-50,000 litre capacity of petrol and diesel in their underground tanks. One can estimate instant cash earning by the pump operators even if they have half or a quarter of their underground available capacity instead of full capacity at the time of panic buying by the buyers.
