Petrol price not to be raised before May holiday end

The Ministries of Finance and Industry and Trade believe that it is necessary to keep the petrol price unchanged, at least until the end of the four day May holiday.

The crude oil price on the world’s market has been decreasing slightly, but the price remains at high levels. Petrol importers have complained that they are incurring loss, seeking the permission from relevant ministries to raise the sale petrol price.

The crude oil price on the Singaporean market on April 28 saw another slight decrease, but still stayed at a high level of $49.19/barrel. Meanwhile, A92 petrol product has been reportedly hovering around $64/barrel.

Leading petrol importers said that with the import prices, they are incurring the loss of nearly VND1,000 per every litre of petrol sold after paying taxes, storage fee, and commission for sale agents.

However, the Ministries of Finance, and Industry and Trade, though having admitted the loss by petrol importers and distributors, said that it is now not the right time to raise the petrol price.

The ministries said that the world’s prices, though remaining high, have been on the decrease. Meanwhile, the petrol price was raised two times in April. If the petrol price is adjusted once more, this will badly affect the socio-economic situation.

Another reason behind the ministries’ decision not to raise the petrol price is that April 30 – May 1 holiday proves to be the ‘sensitive’ moment. If the petrol price increases on these days, this will lead to the dramatic price increases of other commodities and services, including transport fee, airfare and some other services using fuel.

Late last week, when the world’s oil price climbed closer to the $50/barrel threshold, some leading petrol importers asked relevant ministries for the permission to raise the petrol sale price by VND500-1,000/litre. However, the ministries, after considering thoroughly the price performance in the world and the consumer price index, rejected the proposal.

VietNamNet, VNE

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