Duty-free Russian gasoline delivered to Tajikistan

DUSHANBE, December 9, 2013, Asia-Plus — Gazpromneft-Tajikistan, which is one of largest gasoline suppliers in Tajikistan, has announced a 20 percent reduction in prices of gasoline and diesel fuel at its gas stations in Dushanbe and Khujand. According to Gazpromneft-Tajikistan’s headquarters in Dushanbe, the company received duty-free Russian oil products last week. “To-date, we have […]

Zarina Ergasheva

DUSHANBE, December 9, 2013, Asia-Plus — Gazpromneft-Tajikistan, which is one of largest gasoline suppliers in Tajikistan, has announced a 20 percent reduction in prices of gasoline and diesel fuel at its gas stations in Dushanbe and Khujand.

According to Gazpromneft-Tajikistan’s headquarters in Dushanbe, the company received duty-free Russian oil products last week.

“To-date, we have received 5,600 tons of gasoline and 3,800 tons of diesel fuel,” the source said.

In Dushanbe, the price of one liter of 98-octane gasoline at Gazpromneft-Tajikistan’s gas stations has fallen from 7.40 somoni to 6.30 somoni, and the price one liter of 92-octane gasoline at Gazpromneft-Tajikistan’s gas stations has fallen from 6.40 to 5.20 somoni.  95-octane gasoline and 80-octane gasoline now cost 6.00 and 4.80 somoni per liter respectively.

The price of one liter of diesel fuel at Gazpromneft-Tajikistan’s gas stations in Dushanbe is now 5.80 somoni.

In Khujand, Gazpromneft-Tajikistan sells 98-octane gasoline for 6.00 per liter, 95-octane gasoline for 5.60 somoni per liter, 92-octane gasoline for 4.80 per liter, and diesel fuel for 5.30 somoni per liter.

“Prices in Khujand are lower because fuel shipments to northern Tajikistan are cheaper,” a source at Gazpromneft-Tajikistan’s headquarters in Dushanbe said. 

Although Gazpromneft-Tajikistan’s fuel shipments account for 30 percent of Tajikistan’s fuel market, representatives of the Ministry of Energy of Tajikistan found it difficult to answer the question whether these duty-free Russian fuel shipments will have influence on the country’s fuel market.  

Tajik Ministry of Energy sent an indicative fuel balance for consideration to Russia last month.

The Russian government reportedly made a decision on temporary application of an agreement on duty-free Russian oil product deliveries to Tajikistan beginning on November 12.

The agreement on duty-free Russian oil product deliveries to Tajikistan was signed between the governments of Russia and Tajikistan in Moscow on February 6, 2013 and under Article 11 of this agreement, the document can be temporarily applied starting from official publication of it in accordance with laws of both sides.

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.

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.

Tajikistan and Russia signed the 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.

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