Cooking gas consumption in February has decreased about 30-40% and likely down further in the next time due to high price.
The cooking gas price has increased to the highest level so far in the first two months 2012 causing concerns to customers. Many families have forced to replace gas by electric stoves or other fuels for cooking, pulled gas consumption to slump in recently as a result.
Some housewives said that since gas price has increased sharply, they have been switching to electric stove for cooking, even using the infrared stove to save power. They are safer, cleanner and more economic than gas.
Mr. Hao – a cooking gas retailer in District 3 said that the gas price increased too highly, so gas consumption is plunging.
In January, gas price increased by VND32,000 to VND382,000 – 397,000 a cylinder of 12kg. To February, price continued up by VND42,000 to VND425,000 – 464,000 a cylinder of 12kg. The soard in price has pulled consumption to slump around 50%.
Mr. Ha Dinh Sang, Deputy General Director of Dai Quang Minh Private Enterprise (gas distributors in HCM City), also admitted that gas price increased too highly, so his firm’s gas consumption in February decreased by another 20-30 percent.
Gas consumption has also declined strongly at other distributors in Ho Chi Minh City.
Mr. Do Trung Thanh, deputy head of sale department of Saigon Petro said that Saigon Petro’s gas consumption has fallen by 40 percent. Meanwhile Mr. Le Phuc Dai, director of Dai Viet Joint Stock Co (Vinagas) told that his company’s sales decreased by 10-15 percent in January and declined additional 20-30 percent in February.
Mr nguyen Quang Trung – General Director of MT gas Joint Stock Co commented: Due to weak demand, gas enterpries did not dare import more gas, they only purchase a moderate volumes for sales in oder to avoid risks and waiting for reducing in import tax rates.
Due to waiting the import tax rates reduction, major gas importers missed the opportunity to buy cooking gas at cheap price in the early February, when the price declined USD30 a tonne to USD1,000 a tonne. Currently, gas price has inched to USD1,060 a tonne. If distributors have to pay more USD60 a tonne, it means that retail price will add another VND16,000 for a cylinder of 12kg.
According to major distributors, if gas price in the world market continue to keep unchage, retailers may lift price about VND8,000-10,000 a 12kg cylinder.
Mr Thanh added that Vietnam Gas Association has sent a document to functional agency to adjust the import duty from 5 percent to 2 percent. According to Thanh, if gas import tax decreases to 2 percent, the domestic price will have opportunity to fall by 10,000 dong per 12kg cylinder
Source:Xangdau.net
