The Ministry of Industry and Trade (MoIT) asked the Ministry of Finance (MoF) and the State Bank of Viet Nam (SBV) to review and adjust the cost of importing petrol and oil, standard business costs and profit based on trading realities.

Because of the market's difficulties, several petroleum retail businesses have been closed or temporarily suspended their operation in different parts of Viet Nam.

MoIT stated that from the end of 2021, especially since the conflict between Russia and Ukraine began in February 2022, developments on the world petroleum market has still been complicated, causing a shortage in supply and rising price. As a result, the average world price of finished petroleum products in the first ten months of 2022 increased by 57-85 per cent compared to the same period in 2021.

However, from the end of June to the end of September 2022, petrol prices decreased continuously. However, from the beginning of October, they began to rise again due to OPEC's decision to reduce oil production.

Recently, several petroleum retail businesses closed or temporarily suspended their work in HCM City, Can Tho, An Giang, Binh Phuoc, Dak Lak.

Besides the scarcity of global petroleum supplies, US dollar appreciation also exacerbated problems.

Experts said this had caused key petroleum businesses to reduce costs or forced many of them to shut down.

MoIT said according to reports from the leading petroleum businesses and the Vietnam Petroleum Association, the cost of petrol and oil business continued to increase, especially imported petrol.

In some localities, the Customs Sub-Department has stopped customs clearance for several key petroleum trading enterprises due to the lack of electronic data connection and late payment of taxes.

To assist in removing difficulties for the petrol and oil enterprises and ensuring a sufficient supply of petrol and oil for the domestic market, MoIT requested the MoF to review and adjust all costs relating to importing petrol and oil to Viet Nam.

MoIT also asked the General Department of Customs to create conditions for key petroleum trading enterprises and to clear the procedures for petroleum imports to serve the market.

In addition, it also proposed SBV for policies to support and create conditions for petrol and oil businesses to access preferential interest rates and foreign currency sources to help businesses increase financial resources, reduce costs to import or buy petrol and oil, and ensure sufficient supply of petrol and oil for the domestic market.

On October 12, 2022, Deputy Minister Do Thang Hai worked with 31 leading petroleum businesses to find solutions that remove difficulties and ensure the supply of petroleum to the market.

Hai believes the problem began at the end of 2021. Therefore, the MoIT has worked with local businesses and provided recommendations and solutions to best handle the problem.

Hai assigned the Domestic Market Department to consider their recommendations and proposals, telling them if it is within the scope of the ministry, it should be done soon.

Hai also said for other matters that were not under its authority and functions, the MoIT will coordinate with relevant ministries, departments, branches and localities to solve them. — VNS