Total Petroleum and Lubricant sales clocked-in at 1.75mn tons in Nov’21, depicting an increase of 2% YoY while down by 12% MoM on account of significant decline in Furnace Oil (FO) volumes which clocked in at 0.18mn tons, down by 46% MoM compared to 0.33mn tons in Oct’21.

The decline in sales volumes is attributable to power requirement in winter season which is usually lower compared to summer resulting in slowdown in dispatches and increase in prices of MS and HSD. On a yearly basis, sales volumes witnessed a meager growth of 2% YoY which was mainly led by sales growth in FO and HSD by 3% and 1% YoY, respectively.

During 5MFY22, sales of total petroleum products increased by 18% YoY to 9.60mn tons vs. 8.16mn tons in SPLY. Dissection of data revealed that double digit growth was witnessed in all categories; MS, HSD and FO with offtake undergoing a jump to 3.81mn tons, 3.74mn tons and 1.78mn tons (amid higher requirement from FO based power plants), up by 11%, 20% and 29% YoY against 3.44mn tons, 3.12mn tons and 1.38mn tons in SPLY, respectively.

Courtesy – AHL Research