Conference discusses measures to fight petrol smuggling

A host of measures to prevent petrol smuggling were discussed during a conference chaired by Minister of Industry and Trade Vu Huy Hoang in Ho Chi Minh City on March 14.

The measures included the issuance of border petrol trading management regulations and suggesting the people’s committees of border provinces to adjust networks of retail petrol stations and set up check-points on the ways to border areas.

According to authorised agencies, the illegal trade of petrol products in the southwestern border areas with Cambodia, especially in Kien Giang, An Giang, Long An, Tay Ninh and Dong Thap provinces, is becoming complicated as oil prices in the world and Vietnam’s neighbouring countries have continuously increased in recent times.

At the present, the petrol price in Vietnam is VND2,000-VND3,000 lower than that of its neighboring Cambodia due to the government’s subsidy mechanism.

Several traders hired local residents to transport through border about 100-200 lires of petrol by bike or motorbike each time, said local authorities.

Speaking at the conference, Dam Thi Huyen, deputy general director of the Vietnam National Petroleum Corporation (Petrolimex), said her corporation has conducted market surveys to define real demands of border residents in order to constrain the petrol volumes for sales.

Petrol prices should be adjusted under market mechanism to help businesses avoid losses and prevent smugglers from declining the national fuel source, said Nguyen Tuan Hoa, vice chairman of the Dong Thap Provincial People’s Committee.

According to Do Thanh Hoa, director of the Tay Ninh Provincial Department of Industry and Trade, petrol providers should closely coordinate with localities in controlling petrol trading activities and take responsibility for any violations caused by their affiliate stations.

Concluding the conference, Hoang stressed that petrol trading and smuggling prevention in every situation aim to ensure supplies for production and people’s demand. Therefore, measures to prevent cross-border petrol smuggling must be suitable to the real situation, create favourable conditions for production and not affect people’s life.

This month, the Ministry of Industry and Trade will issue regulations on petrol trading management which are based on ideas at the conference. – VIR

Tags: Vietnam petrol, Vietnam Petrol prices