Gasoline price in Cambodia still remains $1 per liter
So far, the petrol price in Cambodia Market does not decrease, still remains $1 per liter even though other countries enjoy the cheapest price. By the way, the crude oil price for international market currently fell down from $78.50 to $57 a barrel, a slide of more than 25 percent. In Vietnam a liter of petrol is down to about 2,600 riel and in Thailand roughly 2,800 riel per liter. It is strange for Cambodia; the gasoline price is not down like neighboring countries in the region. Maybe, government officials have opportunity to earn extra benefit from companies, or no power to control on those companies.
High gasoline price is affecting Cambodian people’s living standard depending on small income per day. In relating with poverty rate, it fell from 47% in 1993 to 35% in 2004 but this rate is still high in comparison with neighboring countries.
At the present, there are many companies owned by foreigners and Cambodians, who are the powerful people and family members. Those companies are Tela, Total, Caltex, Sokimex and so on operating their business in Cambodia.
Sam Rainsy, opposition party president, quoted by Phnom Posh Post, said that “There are two types of gasoline companies in Cambodia- Cambodia-owned and foreign-owned.†He added that “The Cambodian firms are owned by powerful people and family members of the top leaders of the country and their business associate. They benefit from tax exemption and use their political power to influence the economy and to import gas and petrol products without paying taxes and customs duties.â€
According to Ministry of Commerce’s official, he said that the price of gasoline is still high in Cambodia and it may be because the supply is not equal or other factors. Figure from Cambodian customs authorities reported that Cambodia imported 19,789 tones of gasoline and diesel in 2005. For other research, Cambodian consumes about 360,000 tones each year. And most of petroleum is smuggled from Vietnam and Thailand.
Chea Sovanna, a motodop driver (motor-taxi driver), said the continuously high price of gasoline is reducing his family’s living standard every day. He added that he makes between 1,000 to 2,000 Riel per paying for gasoline. In addition, he said that “every day I almost get no-profit from driving as a motodop because I nearly spend all the money I earn on buying gasoline and my customers still offer me the same price even though the gasoline price is high.†The newspaper reported.
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