Azerbaijani Petrol in the Armenian Market: What to Expect

All market participants have been aware of the possibility of importing petrol from Azerbaijan. We have not forced anyone to bring petrol, said Gegham Gevorgyan, Chairman of the Commission for the Protection of Economic Competition and Consumers' Interests, in response to a question from Aysor.am after a government meeting.

“I don’t know who told them, but all market participants were aware of this. If a third party wants to bring it, I assume they will go and bring it. I want to say that this is a trial quantity, which is cheap, because the railway did not charge any fees and the logistics costs have not increased,” he noted.

According to the Chairman of the Commission, Azerbaijani petrol is sold cheaply because it has been imported at a low cost. “Otherwise, we would say there is an unjustifiable price increase. Dumping means that it is economically unjustified and cheap; if it is not economically justified, of course, we will take preventive measures or generate a process. At the moment, there is none,” the official pointed out.

When asked what impact Azerbaijani petrol will have on the market, Gevorgyan responded that the total consumption volume in our country is about 200,000 tons per year, and the imported volume is small. “If it is a lot, it will have a positive effect and the price of fuel will decrease, but we need to look at circumstances differently – as an alternative to petrol, butter, sugar, oil. We did not bring in such a volume to flood the market, so that all other players would leave, and the next day Azerbaijani prices would rise, leading our economy to 'swing'. A small trial quantity has been imported, it will not have any effect because the quantity is so small that it will run out very quickly,” concluded Gegham Gevorgyan.