According to the Ministry of Industry and Commerce, in recent days, many gasoline and oil retail enterprises have closed gas stations or temporarily suspended operations in some provinces and cities such as the city of Can Tho in the Mekong Delta, the southern provinces of An Giang, Binh Phuoc and the central highlands province of Dak Lak.
Two ministries have decided to increase the cost of transporting gasoline from the factory to the ports to guarantee the real costs incurred by the company, by helping companies to increase the discount rate in the oil distribution system while minimizing the impact on the price of gasoline and oil and the government’s control of inflation.
According to the ministries, they have decided to increase the transportation costs of the special product because from the end of 2021 to the present, the cost of oil activities has increased sharply, the wholesale companies do not have enough financial resources to import merchandise, so they are primarily only keeping enough merchandise to supply their distribution system and maintain the prescribed inventory. In addition, over the past few years, the price of gasoline in the world has been steadily declining with a wide margin with unpredictable forecasts leading to Vietnamese companies not wanting to import the commodity.
Due to a lack of resources, many companies have cut sales discounts sharply to prevent retailers from taking a lot of goods and incurring losses. Therefore, the Ministry of Industry and Commerce ordered gasoline and oil wholesalers and distributors to reserve enough gasoline as well as have an import plan and strictly implement the quota plan. import requirements for wholesalers which were approved by the Ministry of Industry and Trade in 2022 to ensure adequate supply of gasoline and oil for the domestic market.
This ministry has also issued a document to the presidents of the people’s committees of cities and provinces requesting the wholesalers and distribution traders in the areas to reasonably share the supply and profit for the distributor agents and retail stores. At the same time, gasoline retailers, agents and stores also need to understand and share the difficulties of gasoline wholesalers and distributors in recent times.
The Ministry of Industry and Trade has asked the State Bank of Vietnam to order commercial banks to have policies to support and create conditions for oil companies in terms of credit lines and interest rates. preferential interest to help them reduce the financial costs of importing and purchasing gasoline. from foreign suppliers and domestic producers, ensuring sufficient supply for the market.