Karachi, March 16, 2024 – Pakistan’s import of petroleum products has seen a significant decline in the first eight months (July-February) of the current fiscal year 2023-24, according to data released by the Pakistan Bureau of Statistics (PBS).
Compared to the same period in the previous fiscal year, imports fell by roughly 11%.
Import Figures:
• Overall: Petroleum product imports for July-February 2023-24 totaled $10.578 billion, down from $11.876 billion during the same period in 2022-23.
• February 2024: When compared to February 2023’s $1.264 billion, petroleum group imports in February 2024 witnessed a slight increase of 1.50% year-on-year (YoY), reaching $1.245 billion. However, on a month-on-month (MoM) basis, it displayed a 6.07% decrease compared to $1.326 billion imported in January 2024.
Breakdowns:
• July-February 2023-24: Compared to $5.352 billion in the corresponding period of the last fiscal year, petroleum product imports during the first eight months of the current year plunged by 23.16%, settling at $4.112 billion.
• February 2024: On a MoM basis, February 2024 saw a 14.89% increase in petroleum product imports to $491.234 million, compared to $427.573 million in February 2023. Year-on-year, it reflected a growth of 6.17% against $462.706 million imported in February 2023.
Wider Trend:
The decrease in petroleum product imports is part of a broader trend of declining overall imports into Pakistan. Total imports for July-February 2023-24 provisionally reached $35.249 billion, marking an 11.81% decrease compared to $39.969 billion during the same period last year.
February 2024 Compared to January 2024:
• Overall imports in February 2024 were $4.326 billion (provisional), showcasing a 9.33% decrease from $4.771 billion in January 2024.
• However, February 2024 imports reflected a 9.94% increase year-on-year compared to $3.935 billion imported in February 2023.
Reasons for the Decline:
The reasons behind the decline in petroleum product imports are not explicitly stated in the PBS data. However, it could be attributed to factors such as:
• Fluctuations in global oil prices
• Government policies aimed at reducing import reliance
• A shift towards alternative energy sources
Impact:
The decrease in petroleum product imports could have a positive impact on Pakistan’s trade deficit. However, it is crucial to analyze the reasons behind this decline to ensure it doesn’t negatively affect the country’s energy security.
