Ministry of Agriculture: reduction in fuel prices for farmers is not observed in all regions

The Ministry of Agriculture is recording a decrease in fuel prices for Russian farmers, but “significant tension” remains in a number of regions, Deputy Head of the Department Andrei Razin said on the Rossiya-24 TV channel.

“We see that we have seen a certain reduction in prices from the peak, but not in all regions. That is, significant tension remains in a number of regions,” – leads his words TASS.

The Ministry of Agriculture, Razin added, expects further adjustments thanks to government measures to curb prices for gasoline and diesel fuel, which became known today.

“We very much hope that thanks to this, the overall situation will be more affordable in terms of the cost of diesel for our agricultural producers,” the official concluded.

On September 21, the government introduced a temporary restriction on the export of motor gasoline and diesel fuel “to stabilize fuel prices in the domestic market.” According to the Cabinet of Ministers, the measures will “saturate” the fuel market, and this should lead to a reduction in its prices. Later, the Ministry of Energy reported that this measure was introduced indefinitely. September 22 at the Ministry of Agriculture stated on stabilizing the situation with fuel supplies to farmers.

The cost of gasoline and diesel fuel at Russian gas stations for the week from September 25 to October 1 decreased for the first time since the spring of this year, wrote formerly Vedomosti. Gasoline of all grades fell in price for the first time since March 6, and diesel – since May 10. According to Rosstat, a liter of AI-92 gasoline fell in price in the country over the week by 0.4% to 51.41 rubles, AI-95 – by 0.5% to 56.16 rubles. The price of diesel fuel decreased by only 0.1% to 64.9 rubles/liter.

On October 6, the Russian government announced that it had approved long-term measures to stabilize the country’s fuel market. In particular, the volume of payments to oil refiners under the damper mechanism will be restored. It implies that if the export price of petroleum products exceeds the price on the domestic market (notional domestic price, which is indexed annually), oil refineries (refineries) receive payments from the budget. If prices on the domestic market exceed export prices, the refineries themselves pay the state.