Kyrgyz Oil Imports Hurt


Volumes oflubricants, fuels and other petroleum products imported into Kyrgyzstan have been vastly reduced in the last seven months, Kyrgyz news agency reported last week.

It is a result of the increased export taxes on light and heavy refined products imposed recently by the Russian government, the Kyrgyz state custom service told the agency, adding that it led to a decrease in the number of passenger cars imported. The country imported 8,800 cars in the first seven months of 2010, 4,800 less compared to the same period last year.

The Kyrgyz custom service hasnt replied to Lube Report inquiries on the volumes of the countrys imported lubricants.

Meanwhile, Kyrgyzstans bigger neighbor, Kazakhstan, recently introduced custom export duties on oil products, following Russias suit.The ratio of oil-and-gas taxes to gross revenue in Russia last year was twice Kazakhstans, according to Bloomberg.

The duty on Kazakhs light refined products was raised to $100 per ton, while on heavy refined products it grew to $66/t. The duty on crude exports was raised to $20/t or almost $2.73 a barrel, according to Vedomosti newspaper.

A principal reason for countrys oil export tax increase is to help Kazakh prime minister Karim Massimov tackle a budget deficit which the government expects to rise this year by $400 million, the newspaper said.

Kazakhstan is the worlds fourth-fastest growing crude oil supplier. The country has no base oil refining capacity, and in early June opened its first lubricants blending plant.

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