Vietnam Cuts Kerosene Price by 5.55 per cent to VND17,000/Liter

The Vietnamese Ministries of Finance, Industry and Trade September 30 approved Vietnam National Petroleum Corp (Petrolimex) to slash domestic kerosene price by VND1,000 or 5.55 per cent per liter to VND17,000 per liter from October 1 in line with the global oil price fall to US$97.89 per barrel, Petrolimex Gernal Director Vuong Thai Dung said.

 

Petrolimex, however, still keeps prices of gasoline and diesel oil unchanged at VND17,000 per liter of gasoline A92, VND15,450 per liter of diesel oil 0.25s and VND15,500 per liter of diesel oil 0.05s for at least 10 days upon stable global market, Mr. Dung said.

 

The official attributed Petrolimex’s decision to the fact that profits of gasoline and diesel oil trading have not yet balanced with earlier losses, and that the company is waiting for issuance of specific and synchronic legal framework on petroleum price management.

 

Petrolimex’s decision to cut kerosene retail price will strongly impact on domestic market as the company holds a majority of kerosene market in Vietnam, particularly in remote and rural areas, said Director of the Price Management Department Nguyen Tien Thoa.

 

Mr. Dang Vinh Sang, general director of Saigon Petro One-member Limited Company said the company has not yet proposed to cut kerosene price for presence due to massive stockpile but Petrolimex’s decision will be a basis for it to take move in the coming time, the Bao Dat Viet daily reported.

 

Recently, Vietnamese Prime Minister Nguyen Tan Dung requested the Ministries of Finance, and Industry and Trade to quickly issue a legal framework on petroleum price regulation as well as ensure sufficient capital for petrol traders.

 

Under a recent decision by the Ministry of Finance, petroleum trading companies have been allowed to decide selling prices of petrol products from Sept 16 of this year. (Local sources)