Deputy PM assigns MoIT to establish a petroleum exchange floor

The establishment of a petroleum trading floor can bring many benefits to Việt Nam. — Photo plo.vn

HÀ NỘI — Deputy Prime Minister Lê Minh Khái has asked the Ministry of Industry and Trade (MoIT) to study the establishment of a petroleum exchange.

In a recent dispatch conveying the instructions of Deputy Prime Minister Lê Minh Khái, the Government Office said that a number of press agencies have published opinions of experts saying that it was necessary to consider applying a petroleum exchange floor to transparentise and ensure harmony of interests among businesses.

Accordingly, the establishment of a petroleum trading floor could bring many benefits to Việt Nam.

When the trading floor is operated, it would publicly disclose price information and transaction volumes, thereby reducing the possibility of price manipulation, creating a flexible and rapid pricing mechanism, and improving the distribution and circulation of petroleum products, said experts.

Besides, economic experts said that in the current context of the petroleum market, although there was still a state monopoly, there were basically private individuals participating in retail so it would be still possible to set up a floor.

Furthermore, a recent decree allows a retail business to purchase goods from many outlets, which creates a premise for establishing a floor, according to experts.

Regarding this issue, Deputy Prime Minister Lê Minh Khái assigned the MoIT to preside over and co-ordinate with relevant ministries and agencies to review and research information, press reports and recommendations on the establishment of a petroleum exchange floor to enhance openness and transparency, and overcome the instability of the petroleum market in recent times. — VNS