DUSHANBE, November 2, 2013, Asia-Plus — Tajik Minister of Energy and Industry Gul Sherali has reportedly sent a letter to Russian Minister of Energy Alexander Novak asking to clarify the situation regarding the agreement on duty-free Russian oil product deliveries to Tajikistan.
“Under Article 11 of this agreement that was signed on February 6 this year, the document can be temporarily applied starting from official publication of it in accordance with Russia’s laws – this part of agreement should have been applied before ratification of the agreement by Russia,” said a source. “However, the agreement does not yet work and Tajikistan is continuing to pay export duty on Russian oil products.”
“We hope to receive reply from the Russian Ministry of Energy in the near future,” he added.
We will recall that Tajikistan was exempted from paying Russian tariffs on oil and gas exports from 1995-2010 and Russia cancelled Tajikistan’s tax exemption on May 1, 2010 that resulted in gasoline prices rising in the country. A sudden spike was reported in May 2011, when export duty for Russian gasoline rose 44 percent as compared with April.
Export duty on Russian oil products is continuing to vary. Thus, by Russian government’s decree an export duty on dark and light oil products for October has been raised. The export duty on light oil products, except gasoline, has been raised from US$264.40 per ton in September to US$274.80 per ton. An export duty on Russian gasoline has been raised from US$360.60 per ton in September to US$374.70 per ton. Meanwhile, export duty on Russian oil products for November has decreased. The export duty on light oil products, except gasoline, has fallen from US274.80 per ton in October to US$261.20 per ton. The export duty on Russian gasoline has fallen from US$374.70 per ton in October to US$356.30.
On October 5 last year, the Ministry of Energy and Industries of Tajikistan and the Ministry of Energy of the Russian Federation signed a memorandum on the conditions for the delivery of Russian oil products to Tajikistan.
Tajik Minister of Energy and Industries Gul Sherali and Russian Minister of Energy Alexander Novak signed an agreement on duty-free Russian oil product deliveries to Tajikistan in Moscow on February 6, 2013.
Under this agreement, the sides consider and endorse the indicative fuel balance for the next calendar before October 1 of each year. Fuels delivered in addition to the indicative fuel balance will be liable to export duty.
Russian oil products delivered to Tajikistan in the volumes not exceeding those agreed on indicative balance are not subject to re-export to the third countries. This ban also applies to Russian oil products delivered to Tajikistan from other member nations of the Customs Union.
Under the indicative fuel balance endorsed for 2013, Russia is expected to deliver one million tons of oil products with 70 percent of them being gasoline and diesel fuel, free of duty to Tajikistan this year.
Russia has not yet ratified this agreement.
