Govt holds 24 day diesel stocks amid global oil pressure

March 19, 2026 (MLN): Pakistan holds around 24 days of diesel stocks while petrol supplies remain at comfortable levels, even as global oil markets tighten and import costs rise amid regional tensions, a government review showed.

The assessment came during a daily monitoring exercise of petroleum supply, which found that domestic availability remains stable due to ongoing imports and refinery output, despite heightened volatility in international energy markets.

The review was attended by Federal Minister for Petroleum Ali Pervaiz Malik, Federal Minister for National Food Security and Research Rana Tanveer Hussain, the Governor of the State Bank of Pakistan, along with federal secretaries and senior officials from relevant ministries, divisions, and regulatory authorities.

Reviewing stock positions noted that one crude oil cargo has already arrived and is being discharged, while another vessel is expected to reach Karachi shortly.

Additional shipments are in transit, with import plans for March and April being actively managed to maintain adequate reserves. Refinery throughput is also expected to improve as incoming cargoes are processed.

The update comes at a time when global petroleum markets are experiencing supply-side pressure, pushing up benchmark prices and cargo premiums.

Higher international prices have increased the landed cost of fuel imports, leading to larger financing requirements for oil cargoes.

Authorities flagged rising transaction sizes for Letters of Credit (LCs), which are creating operational challenges for importers.

Financial institutions have been urged to adopt flexible arrangements, including consortium-based financing, to ensure uninterrupted fuel imports as costs rise.

Domestic demand patterns have also shown signs of increased offtake in recent weeks, raising concerns about possible speculative stockholding. Provincial administrations and regulators have been directed to tighten monitoring across the supply chain to prevent shortages.

With the upcoming Eid holidays and the harvesting season expected to boost fuel consumption, oil marketing companies have been instructed to maintain operational readiness. Fuel depots are expected to remain functional in line with demand, with no supply disruptions anticipated.

Meanwhile, efforts are underway to improve real-time monitoring of fuel stocks through a digital dashboard aimed at strengthening supply visibility and coordination among stakeholders.

The government is also engaging with international suppliers to diversify sourcing and reduce risks from external shocks, including potential government-to-government arrangements for additional volumes.

Despite rising global oil prices and tighter supply conditions, authorities believe proactive import planning and coordination have helped maintain stability in Pakistan’s petroleum supply chain, while keeping the market insulated from immediate disruptions.

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