Whether domestic gasoline price to rise following the world or not?

Crude oil price in the world market has soared to the highest level in the six months, raising the concern for domestic customers about retail price of fuel will adjust to increase in the next time.

In the first half of this month, the average import price of gasoline increased more than 5% compared to the first half of last month.

According to the calculation of major distributors, the average price of the first half of February was USD125.94 a barrel, so the basic price of gasoline in Vietnam market was over VND23,000 a liter.

Mr Vuong Thai Dung, Vice president of Petrolimex said that, the higher price of gasoline in the world market is causing a lot of challenges for importers. The gap between globle price and domestic retail price is VND 2.500 a liter, even larger for oil.

“I could not say how much loss because distributors are doing business under the price management of state, but now they are facing more difficulties”, Mr Dung added.

As the base price spreadsheet of Petrolimex dated on February 17th, 2012, retail price in domestic market in this time was VND5,487-14,261 a liter lower than prices from the other countries in region.

However, talking to VTC News, Price Management Department’s spokesman said that, currently, has no any distributor proposes to lift retail price of gasoline. The news Ministry of Finance is considering to hike retail price is not true.

Currently, petrol companies are implementing the contribution for stabilization fund about VND 550-870 a liter of fuel, and import tax rates for fuel products is 4-5%.
 

Source: Xangdau.net