Karachi, July 4, 2024 – Pakistanis are urged to fill their tanks today as the Pakistan Petroleum Dealers Association (PPDA) prepares for a nationwide strike starting tomorrow, July 5th. The strike, which could last more than a day, comes after failed negotiations between the PPDA and the government regarding a newly imposed tax.
PPDA President Abdul Sami Khan announced the strike, advising dealers to maintain fuel stocks until the shutdown. The strike involves 14,000 petrol pumps across Pakistan, potentially causing significant disruptions to daily life.
“We exhausted all options,” Khan stated. “Meetings with the Finance Minister, FBR Chairman, and OGRA Chairman yielded no results. This additional tax burden, amounting to double taxation in our view, is unconstitutional and threatens the survival of our businesses.”
The government has been advised to prepare for potential fuel supply chain disruptions. The PPDA is demanding the withdrawal of the advance income tax introduced in the recent budget, arguing that it will devastate petrol pump businesses already facing minimal profits amidst high inflation.
“This tax will destroy our livelihoods,” Khan warned. “With already tight margins, the additional burden makes it impossible to continue operations. We’re forced to take this strike action to protect our businesses from unfair taxation.”
The potential shutdown highlights the ongoing tension between the government’s need for revenue and the concerns of businesses struggling with high costs. The coming days will reveal the impact of the strike and any potential solutions that might emerge from further negotiations.
The Finance Minister and other government officials have not yet commented on the strike’s potential impact. However, sources within the government suggest that efforts are being made to mitigate any disruptions and to address the concerns raised by the PPDA.
The PPDA’s stance underscores the broader economic challenges faced by Pakistan’s business community. High inflation and rising operational costs have already squeezed profit margins for many businesses. The newly imposed tax, seen by the PPDA as an additional and unjust burden, has been the tipping point leading to this decisive action.
As the strike looms, the general public is bracing for the potential inconvenience. Long lines at petrol pumps are expected as citizens rush to fill their tanks before the shutdown takes effect. The PPDA has also warned that petrol stations will begin drying up from tonight, further emphasizing the urgency for motorists to act swiftly.
The situation remains fluid, with the possibility of further negotiations between the PPDA and the government. Both parties face significant pressure to find a resolution that balances the need for government revenue with the viability of petrol pump businesses across the country.
In the meantime, citizens are advised to plan ahead and prepare for potential fuel shortages as the strike commences. The outcome of this standoff will be closely watched, as it may set a precedent for future interactions between the government and business sectors in Pakistan.