KARACHI: Some of the oil contractors were seen observing strike on Monday, but there was no disruption in supplies of oil products and shortage of any oil products in Karachi.

A number of oil tankers were seen parked at the Shireen Jinnah Colony.

“Karachi does not face any shortage of various fuels and supplies from oil marketing companies (OMCs) have been going normally,” Chairman of the Pakistan Petroleum Dealers Association Abdul Sami Khan said.

He said petrol pumps usually procured oil products from their tankers being operated by the OMCs, adding that pump owners usually maintained stocks for one or two days.

He said there were various groups of oil tankers and “I could not tell right now which group is observing the strike”.

An official of PSO said the company had ample stocks and there would be no disruption of supply chain. He added that PSO had nothing to do with the strike.

An official of Shell Pakistan Limited said there have been no supply issues so far, but the company was monitoring the situation.

As per media reports from Islamabad, the Oil Tankers Contractors Association has threatened to go on strike on Thursday due to failure of the Sindh and Punjab governments in devising sales tax on services distribution formula. However, it seems that the contractors started observing strike from Monday.

Sindh and Punjab have levied sales tax on transportation services, but they have failed to work out the distribution formula. While Punjab is demanding the tax to be recovered on the basis of the destination of the transport carriage, Sindh seeks to fix the point of origination as the base of tax collection.

Chairman of All Pakistan Oil Tankers Owners Associ­ation Aslam Khan Niazi said the association was engaged in talks with the Federal Board of Revenue regarding services charges in the provinces, but it did observe any strike on Monday.

“Tanker owners are already paying various taxes and duties and there is no need for additional taxes,” he said. “In case our issues are not resolved, the association will consider going on strike.”

Published in Dawn, August 23rd, 2016

Follow Dawn Business on Twitter, LinkedIn, Instagram and Facebook for insights on business, finance and tech from Pakistan and across the world.

Opinion

Editorial

Military convictions
Updated 22 Dec, 2024

Military convictions

Pakistan’s democracy, still finding its feet, cannot afford such compromises on core democratic values.
Need for talks
22 Dec, 2024

Need for talks

FOR a long time now, the country has been in the grip of relentless political uncertainty, featuring the...
Vulnerable vaccinators
22 Dec, 2024

Vulnerable vaccinators

THE campaign to eradicate polio from Pakistan cannot succeed unless the safety of vaccinators and security personnel...
Strange claim
Updated 21 Dec, 2024

Strange claim

In all likelihood, Pakistan and US will continue to be ‘frenemies'.
Media strangulation
Updated 21 Dec, 2024

Media strangulation

Administration must decide whether it wishes to be remembered as an enabler or an executioner of press freedom.
Israeli rampage
21 Dec, 2024

Israeli rampage

ALONG with the genocide in Gaza, Israel has embarked on a regional rampage, attacking Arab and Muslim states with...