Transport, Farm sectors need diesel relief: Chairman Dry Port Trust

MULTAN, Sep 23 (APP):Chairman Multan Dry Port Trust and former president of the Multan Chamber of Commerce and Industry, Khawaja Muhammad Hussain, has called on the government to extend its Rs100-per-litre fuel relief scheme to goods transporters, tractors and tube wells, saying diesel users have borne the brunt of price hikes triggered by global turmoil since the Iran conflict began in February 2026.

He said petrol prices in Pakistan have risen by around 48 per cent and high-speed diesel by nearly 50 per cent since the conflict began, compared with a roughly 38 percent rise in international Brent crude prices over the same period. Brent, he noted, had climbed from about $72 a barrel before the war to over $120 in April, and still hovers near $100.

Locally, petrol prices have moved from about Rs266 to Rs394 per litre, while diesel has risen from Rs280 to Rs422 per litre, he said, adding that taxes and levies make up a significant share of the increase.

While welcoming the prime minister’s Rs100-per-litre relief for motorcycles and small vehicles, Hussain said transporters, farmers and tube-well operators who rely on diesel deserve similar support, since diesel costs feed directly into freight charges, farm output and industrial expenses. He suggested the relief be funded through the petroleum levy pool.

He also urged the early notification of competitive, region-based electricity and gas tariffs for export-oriented SMEs, pointing to the neighbouring country and Bangladesh as regional benchmarks. Citing available figures, he said fuel prices had risen far less sharply elsewhere in the region — about 8 percent for petrol and 9 percent for diesel in the neighbouring country, compared with 38–50 percent in Pakistan, 50–61 percent in the United States, and smaller but still notable increases in Sri Lanka, Bangladesh, the UK and the EU. He attributed the neighbouring country’s comparatively modest increase to greater fiscal space, continued access to discounted crude and spare refining capacity.

Hussain said rising fuel costs are squeezing household budgets worldwide, likely denting demand for finished goods and hitting small businesses, manufacturers and exporters hardest. With Gulf shipping routes still exposed to regional tensions, he said global fuel markets are likely to stay elevated and volatile, urging industry to plan around the new normal rather than wait for prices to fall.

He expressed confidence that Pakistani industry, through better planning, energy conservation and cost control, can weather the current pressures as it has in the past, while urging the government to act swiftly on targeted relief to protect exports and jobs.