State Duma (Russia’s lower house of parliament) has ratified a government-to-government agreement between Russia and Tajikistan on fuel supply cooperation.
Quoting Russian Deputy Minister of Energy Yuri Sentyurin, TASS news agency reports the agreement was signed in February 2013 and it aims at further development of integration ties between the Russian Federation and Tajikistan.
The agreement reportedly provides for supplying up to 1 million tons of duty-free oil products to Tajikistan. According to Sentyurin, the agreement has been temporarily applied since November 12, 2013.
The agreement prohibits re-export of Russian duty-free oil products to the third countries.
We will recall that under the indicative fuel balance endorsed for 2016, Russia is expected to supply 830,000 tons of oil products free of duty to Tajikistan this year. A totaled will include 260,000 tons of gasoline, 310,000 tons of diesel fuel as well as other oil products.
Last year, Tajikistan imported only 560,000 tons of duty-free oil products from Russia though the indicative fuel balance for 2015 provided for supplying 830,000 tons of duty-free oil products to the country.
In 2014, Tajikistan managed to import only 576,000 tons of duty-free oil products from Russia though the indicative fuel balance for 2014 provided for supplying 1 million tons of duty-free oil products to Tajikistan.
Tajikistan was exempted from paying Russian tariffs on oil and gas exports from 1995-2010 and Russia cancelled Tajikistan’s tax exemption on May 1, 2010 that resulted in gasoline prices rising in the country.
The agreement on duty-free Russian oil product deliveries to Tajikistan was signed between the governments of Russia and Tajikistan in Moscow on February 6, 2013.
Under this agreement, the sides consider and endorse the indicative fuel balance for the next calendar before October 1 of each year. Fuels delivered in addition to the indicative fuel balance will be liable to export duty.
Russian oil products delivered to Tajikistan in the volumes not exceeding those agreed on indicative balance are not subject to re-export to the third countries.

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