Now, to understand, whether the petrol is 500 Rs per Litre or 50 Rs per Litre the distribution companies get a 3% back-end margin from which they extend dealer margins to the pump owners. Since this industry heavily relies on transport, in my opinion, transportation relief should be given to the distributors so they do not hike over the regulated prices from region to region and the rate should be the same all across Pakistan.
Here is a quick look at the price buildup structure:
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