Total Petroleum and Lubricant sales clocked-in at 1.67mn tons in Apr’21, depicting a gigantic growth of 57% YoY (ex- FO growth of 50% YoY and 18% MoM) and 13% MoM due to seasonality factor given higher economic activity in the holy month of Ramzan and low base of Apr’20 amid country-wide lockdown last year resulting in a slowdown in sales volumes.
The growth in sales volumes is primarily attributable to i) Economy displayed remarkable resilience in driving retail fuel sales, ii) Higher trade activity (exports and imports) and growth in large scale manufacturing, iii) Growth in agriculture output resulting in higher offtake of HSD, iv) Massive growth in automobile sales, and v) Strict control on illegal or dumped fuel from Iran resulting in higher HSD sales.
During 10MFY21, sales of total petroleum products increased by 19% YoY to 15.83mn tons vs. 13.34mn tons in 10MFY20. Dissection of data revealed that major contribution to growth came from HSD and FO with offtake undergoing a jump to 6.16mn tons and 2.48mn tons, up by 20% and 48% YoY against 5.15mn tons and 1.68mn tons in SPLY.
Courtesy – AHL Research