Azerbaijan suspended imports of gasoline AI-92

Baku. 15 September. REPORT.AZ/ Production process at Oil Refinery named after Heydar Aliyev (BNEZ) was resumed, and therefore import of motor gasoline AI-92 temporarily suspended in mid-August.

Report informs, Rovnag Abdullayev, President of the State Oil Company of Azerbaijan Republic ( SOCAR ) told reporters.

According to him, 30,000 tons of gasoline AI-92 imported in Azerbaijan in mid-August.

"Gasoline is very cheap in Azerbaijan. Prices are so low that even without tax the cost of imported gasoline is twice expensive. We worried that during the refinery's shutdown the demand would not be fully satisfied. Therefore we asked the government to make changes on customs duties and excise tax for the imported gasoline. However, even without taxes, we have lost a few millions. Demand in the country was completely covered", R. Abdullayev said.

Notably, production process at Baku Oil Refinery named after Heydar Aliyev suspended for repair on August 1. Yesterday SOCAR announced on resumption of production in the refinery.

Taking into account that the work on the modernization may last longer than standard 25-30 days and in order to ensure domestic demand, SOCAR appealed to the Cabinet of Ministers on exemption of imported gasoline A-92 from customs duties and excise tax.

The Cabinet amended the decree of January 19, 2001 "On approval of the rates of excise duty on goods imported into the territory of the Azerbaijan Republic and subjected to excise" and decree of April 12, 2001 "On rates of customs duties on import and export operations". Thus, the excise rate on petrol imports for the engine, excepting aviation gasoline, reduced from AZN 200 up to AZN 1. According to the second amendment, the customs duty on gasoline AI-92 decreased from 15% to 0%.