The Pakistan LPG Marketers Association wants urgent attention of Ministry of Finance, Ministry of Energy & Oil & Gas Regulatory Authority as fears of shut down of local LPG industry mount if the over import of low quality LPG in the country is not immediately stopped.
In a statement issued here, PLPGMA Chairman Farooq Iftikhar said that Minister of Energy & Finance should take serious notice of over imports of LPG as it was not only hampering the sale of locally produced LPG, but also causing huge loss of valuable foreign exchange to the national exchequers.
He said that substantial quantity of borderline quality LPG is in the market because of huge fall in April CP price of LPG and the Government’s machine like matching price of the local product without considering the current conditions of economic slump because of covid corona virus pandemic thus completely disregarding Prime Minister’s appeal to provide relief to the low income group.
“Importers are pocketing huge profits of over Rs. 30,000 per ton by over imports during April (quantity previously imported in 3 months) while the LPG Marketing companies of Pakistan are on the verge of collapses”, Farooq Iftikhar added, No institution ensures checking of LPG quality & quantity imported into the Country.
He said that the declining trend in petroleum prices and the slow economic growth will take 2-3 years to recover and the Government must fix prices on the lower side as the government knows that all lpg imported into Pakistan whether by sea op by land is of Iranian origin as such is sold at substantially reduced price to importers.
This coupled with reduced sales tax and zero petroleum levy has made the importers fat at the cost of the poor masses. The local industry bears the brunt of full taxes and despite raising the issue with the concerned has failed to draw attention towards correcting the gross injustice initiated by the present poor loving government. He said, if import of substandard LPG continues unabated, local LPG producers will have to flare LPG or close production, which would surge the graph of unemployment and revenue losses.
PLPGMA also expressed deep concern over OGRA’s complete silence towards marketing companies renting their plants to decanters ,investors and dealers causing loss to the national exchequer and complete disregard of Ministry of Petroleum and OGRA policy and rules. They are requested to take urgent notice of the situation and take urgent corrective measures as it is a matter of grave concern for local LPG Industry, the consumers and the Government.
The local industry bears the brunt of full taxes and despite raising the issue with the concerned has failed to draw attention towards correcting the gross injustice initiated by the present poor loving government.
