HYDERABAD: The United Petroleum Dealers Association has sent a letter to the ministry of petroleum to exempt the merchant discount rate (MDR) or digital transaction charges. In the letter it was explained that the petroleum dealers and retailers across the country are having a thin margin, and the petrol and diesel prices are determined by the oil marketing companies. The dealers have no freedom to reverse any price as the commission to the dealer is fixed by the companies.

Association general secretary M. Amarender Reddy said, “It has been around 10 years that there is no increase in our margins. Several dealers are facing difficult situation. The sales are in high volumes and that directly affects the dealers.”

He added, “As of now it is the initial stage, if there is no action, the dealers will take the next step for getting the exemption.”