Gas Traders Mull Price Cut by VND3,000 amid Import Tax Cancel
Gas traders in Vietnam said that they will slash retail prices by VND3,000 per cylinder of 12 kilograms in the near future in the wake of the Ministry of Finance’s decision to cut import tariffs to zero percent from two percent.
The ministry issued the decision November 16 but it will take effect from today [November 20].
Some traders such as Saigon Petro, Elf Gas and VT Gas said that they will officially apply the price reduction by the end of November for batches of goods shipped inbound after November 20.
Recently, Saigon Petro, Vinagas, PetroVietnam Gas and Gia Dinh Gas decided to cut the gas retail prices by VND4,000 to VND226,000 per 12-kg canister due to the validity of the import tax reduction to two percent from five percent.
Vietnam is facing a soaring inflation threat as consumer price index (CPI) rose 8.12 per cent on-year since the beginning of this year due to high prices of input materials and fuel in the world.
The government and relevant ministries and agencies are exploring ways to stabilize domestic market at least through the national Lunar New Year holiday.
Vietnam is estimated to use up nearly one million metric tons annually in the coming years. In 2006, the country consumed around 800,000 tons with about 60 per cent being imported. (US$1=VND16,400). (VnExpress, VietNamNet)
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