Vietnam to Adjust Petrol Price Management Mechanism Soon

The Vietnamese Ministry of Industry and Trade has just completed a draft decree on petroleum trading that will be submitted to the government for approval as a substitute to Decree No. 55/2007.

 

Under the draft, petrol traders in Vietnam must cut the domestic retail prices when the global price falls between 3 per cent and 12 per cent in comparison with the existing prices, and two consecutive price reductions should be made a minimum 10 days apart, the ministry said.

 

When global prices tumble over 12 per cent, the traders must continuously slash domestic prices regardless of time limit between the two consecutive price cuts, it noted.

 

In the case that world petrol prices increase between 3 per cent and 12 per cent, the traders should raise the domestic prices, and the two consecutive price hikes should be a minimum 10 days apart.

 

After three consecutive price increases, if the global prices continues to rise over 12 per cent, and if the price hike affects local socioeconomic development and people’s lives, the government of Vietnam will apply measures to stabilize domestic prices.

 

Currently, prices of gasoline A92 are set at VND14,200 per liter, gasoline A95 at VND14,700 per liter, kerosene at VND13,650 per liter, mazut 3 S and mazut 3.5 S at VND10,500 per liter, and diesel at VND12,100 per liter.

 

The Ministry of Finance said the state-owned Vietnam National Petroleum Corp (Petrolinex) made a net profit of VND200 billion from petrol trading in the first six months of this year thanks to its petrol temporary imports and re-exports. (Youth)