Govt reduces tax as much as possible to prevent surging fuel prices

The government reduces tax rates as much as possible to prevent the rise in local fuel prices, said Maj-Gen Zaw Min Tun, leader of the Information Team of the State Administration Council during the 15th press conference yesterday.
“The fuel prices are calculated based on the international prices and the ones in ASEAN countries. The prices are on the rise in the world. Regarding fuel, the government reduces the tax rate to the minimum level. The government does not buy the fuel. It allows the merchants to purchase. If the fuel is bought anywhere, the prices are calculated based on the MOPE of Singapore and daily basis prices and tax is also added. There is the cost for the distance between Yangon and Mandalay. As global energy prices are not stable, the prices will continue rising in Myanmar. It has fully imported the petrol and diesel as of 16 May. There are delays in local transportation,” he said.
The merchants calculate the prices depending on the daily current prices and tax rates.
“The merchants will not face losses every time. The buying prices are higher and lower than the daily prices. The government maintains that gap is not to be blocked in it. As the prices are based on the global prices, the government reduces the tax to the minimum level and successively controls it,” he added. — TWA/GNLM