Aviation Fuel Supply Company raises jet fuel prices by 30 percent

Asia-Plus

The Aviation Fuel Supply Company has raised jet fuel prices.  The company has justified the decision as based on market trends.  Officials at the Aviation Fuel Supply Company say the price hike has resulted from the rising cost of petroleum.

The price of one ton of jet fuel in Tajikistan has risen 30 percent – from 1,120 U.S. dollars on February 1 to 1,465 U.S. dollars. 

Passenger fares offered by Tajik air companies are one of the most expensive.  For example, the ticket for the Dushanbe-Moscow flight now costs 280 U.S dollars, while the ticket for the Bishkek-Moscow flight costs 110 U.S. dollars.  The ticket for the flight from Dushanbe to Istanbul costs 400 U.S. dollars, while the ticket for the flight from Bishkek to Istanbul costs 238 U.S. dollars.

According to data from the Ministry of Transport of Tajikistan, the jet fuel price constitutes 38 percent of the whole price of air ticket.

The Aviation Fuel Supply Company has confirmed the fact of raising the jet fuel prices, justifying the decision as based on market trends.  An official at the Aviation Fuel Supply Company says the price hike has resulted from the rising cost of petroleum.

According to him, they had earlier had been purchasing jet fuel in Russia and Turkmenistan.  “Russian jet fuel was cheaper because Russian has exempted Tajikistan from paying a 5 percent customs duty on all types of fuels,” said the source.  “Russia last year introduced changes to its tax code and now it is more profitable to Russian fuel suppliers to sell fuels in Russia than to export them to other countries.   Today, we purchase jet fuel only in Turkmenistan and we have to pay the 5 percent customs duty.” 

He further added that Tajik national air carrier Tajik Air and private air company Somon Air now owe a total of 171 million somoni to the Aviation Fuel Supply Company.  

Meanwhile, experts consider that jet fuel supply monopoly had led to increase in the jet fuel prices in the country.  

Officials at the Aviation Fuel Supply Company, for the part, say domestic entrepreneurs do not want to enter that market because of high responsibility.  

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