KARACHI: Due to the monsoon season, overall oil sales fell by 14% year over year to 1.21 million tons in August. However, because August was a complete working month as opposed to July, these sales grew by 2%.
From 2.8 million tonnes in 2MFY24 to 2.4 million tonnes in July-August FY25, oil sales decreased by 12 percent.
According to Myesha Sohail of Topline Securities, gasoline sales decreased 7% year over year but increased 6% month over month to 625,000 tonnes in August as a result of a drop in price of Rs14.64 per litre to Rs260.96 and the start of the school year, among other factors.
In 2MFY25, gasoline sales fell by 9% to 1.216 million tonnes.
In addition to the aforementioned variables, high costs and costly car loans have been negatively impacting the nation’s sales of two-, three-, and four-wheelers, which has a knock-on effect on sales of gasoline and diesel.
She stated that because of the monsoon season, high-speed diesel (HSD) suffered a 17 percent YoY and a 2 percent MoM decline to 456,000 tonnes in August. HSD sales decreased by 12% to 921,000 tonnes in 2MFY24.
August saw a 45 percent YoY and 17 percent MoM decline in furnace oil (FO) sales to 65,000 tons as a result of decreased electricity generation from FO-based power plants. July–August FY25 saw a staggering 46% decline in total FO sales to 142,000 tonnes.
Sales of urea
Due to the monsoon season, urea sales decreased by 9 percent month over month in August, falling from 650,000 tonnes to 560,000 tonnes in the same month the previous year.
Sales of urea decreased by 4% to 4.2 million tonnes in 8M2024 from 4.4 million tonnes in 2023. Urea’s closing inventory decreased from 399,000 tonnes in July to around 397,000 tonnes in August.
Tanweer Ahmed of Topline Securities reports that overall DAP sales in August were around 80,000 tons, a decrease of 29% YoY and 51% MoM. As a result, 8M2024 DAP sales are down 12% YoY to 787,000 tons.
