Energy Ministry considers possibility of increase of customs duties on oil export

Astana. July 18. Kazakhstan Today - The Ministry of Energy and Mineral Resources of Kazakhstan considers a possibility of increase of customs duties on oil export. The Minister of Energy and Mineral Resources of Kazakhstan, Sauat Mynbayev informed in the interview to journalists after the session with representatives of the oil refining companies, the agency reports.

Answering journalists' questions why introduction of customs duties on export of oil has not removed pressure in the market of petroleum products, the Minister noted that "volume of customs duties should be higher and only then there will be a result."

"This year we cannot raise customs duties as this increase will lead to inability of the companies to fulfill their investment programs," S. Mynbayev emphasized. "Even if we increase customs duties, it will be in the future," he added. "We need to hold negotiations with each of the company and it needs time," the Minister concluded.

As it was informed earlier, Kazakhstan introduces duty on export of crude oil. The decision was accepted on April 8 at the government session in Astana.

The size of duty will total $109.91 for a ton at the world price of $714 for a ton, which has developed, following the results of the first quarter of 2008.

"It will allow increasing receipt in the budget up to the end of the year by $1 billion," the Minister of Industry and Commerce, Vladimir Shkolnik, noted.

The decree came into force after 30 days after the decision was made.

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