KARACHI: The Pakistan Chemicals & Dyes Merchants Association (PCDMA) has warned that the recent Rs55 per litre increase in petroleum product prices has begun to inflict serious damage on the economy, pushing business costs to unsustainable levels and slowing commercial activity across the country.
PCDMA Chairman Salim Valimuhammad, in a statement, urged Prime Minister Shehbaz Sharif, Minister for Petroleum Ali Pervez Malik and Minister for Commerce Jam Kamal to take immediate measures to mitigate the economic fallout of the steep fuel price hike. He said the sudden increase in petrol and diesel prices had placed an “extraordinary financial burden” on traders, particularly importers and exporters, making it increasingly difficult for them to maintain production and business operations.
He noted that if the government was genuinely committed to promoting industrial and commercial growth, it must prioritise reducing the cost of energy instead of adding further pressure on the business community.
Salim Valimuhammad expressed concern that the recently announced Rs4 per unit reduction in electricity tariffs might prove temporary, warning that the relief could be reversed through upcoming fuel adjustment charges. “If electricity and fuel prices continue to rise, the impact will directly hit both imports and exports, making Pakistan’s products even less competitive in global markets,” he said.
The PCDMA chairman added that electricity was already expensive, raw material prices were rising, and the record increase in petroleum prices had created an additional threat for industries. If the situation persisted, he cautioned, the country would face accelerating inflation, a higher import bill, and further decline in exports, all of which would weaken the national economy.
He stressed that the government must urgently realign its economic priorities. “If the government truly aims to stabilize the economy, it must ensure energy price stability, reduce business costs, and extend meaningful support to the trading and industrial community. Otherwise, all claims of economic recovery will remain nothing more than rhetoric,” he said.
