Discounting in order to dominate the exporting market of gasoline

Discounting in order to dominate the exporting market of gasoline
These days some news about the 90$ reduction for some of the customers of the Ministry of oil in exporting gasoline was broadcasted.

 


20 million liters surplus gasoline

Discounting in order to dominate the exporting market of gasoline

These days some news about the 90$ reduction for some of the customers of the Ministry of oil in exporting gasoline was broadcasted. The reductions that in some cases are referred as rant ,while based on the surveys done and on the viewpoints of active experts in exporting gasoline, if the Ministry of oil do not reduce its price it will have no share in the market and will face with more surplus of this commodity .

Seyed Hamid Hoseini, the board member of the union of the oil products exporters said about the matter to" Forsate emrooz" (a daily  newspaper ) and added it is not the issue of discounting but the situation of market implies that the refining and distributing company reduces the price. He  added "daily there  is 20 million liters of surplus of gasoline in the country so it is necessary to export this added amount and the neighbor countries are the best choice in this regards , but since the transportation cost of this product is high so the refining and distributing company for the reason of keeping the present market have applied some discounts in order to juice-up the exporting.

At the moment the best target markets for the exporting are Afghanistan and Iraq . in Afghanistan market there are two rivals for ran Turkmanistan and uzbakistan considering that the main rival is Turkmanistan , because of the rail road there to Hirat the  whole cost of exporting gasoline is far less comparing to Iran ."

He added  that "Turkmanistan in order to keep its market in that country, offer a reduction of 80 dollars to Afghanistan. The Ministry of oil surveying the target markets , reduced the cost of freight in order to keep the market ."

But what is important is the benefit of the private section out of the exporting of this commodity , based on this active member of the private section, the Ministry of oil do not regard the profit of this section while pricing , of course recently through endeavors done by the Chamber of Tehran it is regulated that a committee be established for determining a gain for  The private section while pricing the oil products.

This expert believes that Iran is faced with surplus gasoline and for keeping the market must give a discount .The market of Iraq has a good future but the share of Iran out of it is inconsiderable ,we see that the countries of the region consists of Bahrein ,Qatar and Kuwait take the Iraq's market because of having better commodity and more suitable price, but we can dominate Iraqi's market based on long term programming .

Sep 7, 2015 15:56

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The section of oil, gas and petro-chemistry is the up-most and first industrial vantage of the country and the pivot of the Economy of Iran. Regarding the importance of this section and the need for coordinating and organizing the most active people in the field of production and exporting oil ,gas, and petrochemical products ,some forethoughtful and job- makers in the private section of the country decided to come together to fight against the threats by using the opportunity of mass intelligence and potentials.