DUSHANBE, May 21, 2011, Asia-Plus  -- Fuel Supply Company has notified air companies and airports in Tajikistan of rise in air fuel prices.

The Fuel Supply Company director Muhabbatsho Abdulkhayev says the price of one ton of air fuel will rise from US$1660 to US$1,700 beginning on June 10.

“Air fuel Tajikistan imported in March and April will be enough only until June and price will rise starting from June,” said Abdulkhayev.  “Russia now accounts for some 90 percent of Tajikistan’s air fuel imports and we are forced to raise prices following Russian government’s decision to raise tariff for oil exports.”

“In early May, Russian oil companies began shipping oil products to Tajikistan’s border at the rate of US$1,263 per ton,” said the Fuel Supply Company top manager, “It is also necessary to take into account customs procedures at rate of US$30.00 per ton and 18% VAT.  As a result of all of this, one ton of air fuel costs US$1,525, expenditures of the company and other taxes are not included.”

We will recall that Russia introduced the export duty on light oil for Tajikistan at the rate of 203.7 U.S. dollars per one ton on May 1, 2010.  In June, the export duty was raised to 209.1 U.S. dollars.

Tajikistan and Kyrgyzstan had been receiving Russian fuel duty free since 1995, in keeping with protocols to the government-to-government agreements on the establishment of a free trade zone within the CIS area.  Russian customs, however, started collecting a duty on oil products exported to Kyrgyzstan on April 1 and to Tajikistan on May 1.

Introduction of the export duty on light oil has resulted in gasoline prices rising in Tajikistan.  Current export duty on light oil set by the Russian authorities is US$304.00 per ton.  Besides, the Russian government has set a separate export duty on gasoline exports at the rate of US$408.30 per ton.