Wholesale Prices for Gasoline Increased by 7% During the Week
OREANDA-NEWS The wholesale price of gasoline for the week increased by 7% for the first time since the end of May. The government took measures to stabilize them in May. This is due to the upcoming repairs of the refinery and a decrease in fuel production.
During the trading week from 10 to 17 August wholesale prices for gasoline AI-92 increased by 6.72% to 46.137 thousand Rubles per ton, AI-95-7.4% to 49.4 thousand Rubles at the International commodity exchange in St. Petersburg.
It happened the first time since last 3 month. Government took emergency measures to stop the sharp rise of gasoline prices at gas stations in May. Then were reduced taxes on fuel by 2-3 Rubles per liter. Oil companies were obliged to increase fuel sales in the domestic market by 3%. It help to freeze the price of gasoline.
Mikhail Turukalov - General Director of "Analysts commodity markets" – sure, that higher prices for petroleum products in the wholesale over the last week become the result of the reduction of production by oil companies. Another reason is the weakening of the Ruble and the growth of export. The result: it more profitable to export oil and oil products then to the supply of the domestic market.
"The gasoline sales have decreased in recent days at the exchange, while there is a high demand for gasoline on the market," said Mikhail Turukalov.
The increase of exchange prices for gasoline is caused by a decrease in fuel sales on the exchange against the reduction in its production in the country, - confirmed Yevgeny Arkusha - the President of the Russian fuel Union. Supplies to the domestic market are also decreased.
"The situation suddenly got out of control. In fact, now sells less gasoline in Russia than in August last year, " said Yevgeny Arkusha.
The Ministry of energy try to prevent an imbalance in the market. "The main measure that will help to stabilize exchange prices for gasoline and eliminate their uncontrolled growth is to increase fuel sales on the exchange to a level of not less than 30 thousand tons per day," added in the Russian fuel Union.