Pakistan’s oil marketing companies (OMCs) recorded a 6% year-on-year increase in total sales volume in December 2025, reaching 1.35 million tons, driven mainly by higher demand for motor fuels. However, sales declined on a month-on-month basis, highlighting ongoing volatility in the energy market, according to data released by Arif Habib Limited.
Compared to 1.28 million tons in December 2024, overall OMC sales showed clear annual growth, though they slipped 5% from November’s 1.42 million tons. The data reflects seasonal demand patterns as well as price sensitivity among consumers amid economic uncertainty.
Motor Spirit (petrol) sales posted a strong 11% YoY increase to 0.63 million tons, while High-Speed Diesel (HSD) rose 3% to 0.65 million tons, supported by transport and agricultural activity. In contrast, Furnace Oil (FO) sales plunged 54% YoY, despite a short-term 40% month-on-month recovery in December, underscoring the long-term shift away from FO-based power generation.
Market leader Pakistan State Oil (PSO) saw its December sales fall 7% YoY to 0.53 million tons, with declines across MS, HSD, and a sharp 71% drop in FO sales.
Attock Petroleum Limited (APL) also posted a 7% YoY decline, while WAFI Petroleum outperformed peers with a 10% increase, led by strong diesel demand.
HASCOL Petroleum recorded the highest growth, with 40% YoY increase in total sales, reflecting gradual recovery in volumes.
During 1HFY26, cumulative OMC sales rose 2% to 8.16 million tons, compared to 8.03 million tons last year. Petrol and diesel volumes both increased 3%, while furnace oil sales fell sharply by 54%, confirming structural changes in Pakistan’s fuel mix.
Despite higher volumes, OMC profitability remains under pressure. A report by Mountain Ventures noted that regulated fuel pricing, persistent discounting, rising capital needs, and tax uncertainties continue to strain the sector. With 45 licensed OMCs operating nationwide, intense competition has made pricing discipline difficult, particularly for smaller players.
Regulators are now emphasizing digitization, enforcement, and compliance, signaling that future margin relief may depend more on operational transparency rather than blanket pricing support.
