Key facts
- An informal fuel trade operates along the Balochistan coast, near the Iranian border, involving boats bringing Iranian petrol and diesel into Pakistan.
- Balochistan's provincial government has set prices for this fuel, recognizing its foundational role in the local economy.
- The informal economy supports thousands of laborers, drivers, boat crews, and depot workers.
- A conflict described as a US-Israeli war on Iran, starting February 28, 2025, has severely disrupted this trade.
- The disruption has led to a halt in fuel supplies and significant economic hardship for those dependent on the trade.
The informal fuel trade along Pakistan's remote Makran coast, particularly at Kuntani Hor near the Iranian border, has become a critical economic lifeline for thousands of individuals. This trade, which involves boats bringing Iranian petrol and diesel into Pakistan, has been so foundational that the Balochistan provincial government even set official prices for it in April 2025, pricing it below government-imported fuel and restricting its sale to within the province.
Thousands of laborers, drivers, boat crews, and depot workers rely on this trade for their livelihoods. Among them is Siraj, a 26-year-old anthropology graduate who turned to the trade after failing to find stable employment with his degree and facing financial difficulties after his father's death.
However, the ongoing conflict described as a US-Israeli war on Iran, which began on February 28, 2025, has severely disrupted this vital economic activity. The war, which has seen strikes on Iran and its military installations, has impacted coastal defenses and shipping routes around the Strait of Hormuz, leading to a significant decrease in fuel supplies reaching Pakistan.
Fuel dealers reported that the border closure at Kuntani Hor in May 2025 pushed the price of Iranian petrol in Gwadar up by 30 to 40 Pakistani rupees per liter. For workers like Siraj and thousands of others, this disruption has immediate and dire consequences, bringing much of the work at Kuntani Hor to a standstill.
Bakshi Baloch, a fuel depot operator at Kuntani Hor, stated that under normal circumstances, around 50 people depend directly on his operation, including laborers, an accountant, and boat crews. He estimated that over 5,000 depots operated around Kuntani Hor, each supporting dozens of people. Workers came from various parts of Pakistan, including Sindh, Punjab, and even Kashmir, seeking viable work. Now, they have scattered again, carrying the effects of the Middle Eastern war back to their communities.
Workers like Mohammad Asif described the work as both a means of survival and a daily encounter with death due to handling flammable fuel in extreme heat without protective equipment or emergency facilities. Despite the risks, the income, as high as 10,000 rupees ($36) on a busy day, is difficult to find elsewhere, compared to the average 1,400-1,500 rupees ($5) for unskilled labor in Pakistan.
Laborers known as 'ammaal' carry fuel barrels from boats to depots through thick mud, facing risks of spills and fire. Motorcycle riders, or 'cycali', then transport the fuel further inland. The workers emphasize that they must take these risks to earn a living, stating it's better to risk death than to die of hunger.