Karachi, July 2, 2025 – Petroleum product sales in Pakistan surged by 8% year-on-year (YoY) in June 2025, driven primarily by a significant decline in cross-border smuggling amid heightened geopolitical tensions between Iran and Israel.
This disruption to illegal trade routes created a favorable environment for local Oil Marketing Companies (OMCs), boosting their performance.
According to a report by Topline Securities, Pakistan’s OMCs collectively sold 1.57 million tons of petroleum products in June 2025, reflecting not just an 8% YoY increase but also a modest 2% rise month-on-month (MoM). Analysts attributed this growth to a combination of a gradually recovering economy and the reduced influx of smuggled petroleum into Pakistan due to the ongoing Iran-Israel conflict.
The cumulative petroleum sales in Pakistan for the fiscal year FY25 stood at 16.32 million tons—up 7% compared to 15.28 million tons in FY24. Excluding Furnace Oil (FO), total sales in June 2025 were 1.44 million tons, marking a 7% YoY growth despite a slight 1% MoM dip. Ex-FO petroleum sales in Pakistan reached 15.05 million tons in FY25, reflecting a robust 9% annual increase.
Breakdown by Product:
• Motor Spirit (MS) sales climbed 5% YoY and MoM to 732k tons, touching a three-year peak.
• High-Speed Diesel (HSD) rose 9% YoY but declined 8% MoM to 618k tons due to the seasonal end of harvesting.
• Furnace Oil (FO) sales spiked 22% YoY and 62% MoM to 129k tons, the highest in 17 months, likely due to pre-buying ahead of expected Petroleum Development Levy (PDL) in July.
Company Performance:
• Attock Petroleum (APL) sold 132k tons, up 2% YoY but down 4% MoM. Its market share in MS and HSD declined slightly.
• Pakistan State Oil (PSO) improved its petroleum sales by 2% YoY and 3% MoM to 661k tons, with overall market share rising to 42.2%.
• Wafi Energy Pakistan posted a strong 19% YoY and 3% MoM rise, hitting a 32-month high with 127k tons sold.
• HASCOL also saw a 15% YoY increase but faced a 19% MoM drop.
Looking ahead, petroleum sales in Pakistan are projected to grow between 7% and 10% in FY26, provided economic recovery stays on track and smuggling remains under control.