Smuggled Iranian diesel fueling concerns in Sindh’s petroleum market
Fingernails are being pointed at the performance of authorities, particularly the customs department, for failing to curb this illegal activity
Dr Abdul Waheed Mastoi
SUKKUR: The rampant smuggling of Iranian diesel into Sindh is raising alarm bells, with estimates suggesting it now accounts for nearly 30% of domestic diesel consumption in many regions. This illegal trade, facilitated by corruption and lax enforcement, is inflicting significant damage on the national economy and local businesses.
Reliable sources report that the influx of smuggled diesel has driven down legal diesel sales in Sukkur and Larkana by over 30% compared to last year. This significant drop, attributed to the lower price of smuggled fuel, is impacting legitimate petroleum businesses throughout the region, including those in Balochistan and other parts of the country.
Fingernails are being pointed at the performance of authorities, particularly the customs department, for failing to curb this illegal activity. Sources allege that corruption and a blatant disregard for regulations are creating an environment conducive to smuggling. Accusations also point towards a possible nexus between smugglers, local politicians, and corrupt officials within customs and other government agencies, enabling the illicit trade to flourish.
Unless immediate action is taken, experts warn that the proliferation of smuggled Iranian diesel is likely to continue, further crippling legitimate businesses and causing significant financial losses to the national exchequer. This includes potential losses of billions of rupees per month in lost petroleum levies and customs duties.
Timely and decisive action to address these concerns is crucial to protect the national economy, safeguard legitimate businesses, and ensure proper revenue collection for the national treasury. Failing to do so will only allow this harmful trend to continue, jeopardizing Pakistan’s economic well-being and development.
Tackling corruption within customs and other relevant agencies is essential to dismantle the networks facilitating smuggling and robust legal action against smugglers and their collaborators is needed to deter this illegal activity.
