--Huge gap between India and BD in fuel oil prices
--Diesel-Petrol per litre gap is Tk 22 to 25 between India-BD
--Local oil traders bring sells it secretly to India’s truck drivers
-- Govt has to import additional fuel oil to meet the demand for this
Fuel oil is being heavily smuggled from the country to neighboring India every day through truck drivers open secretly. This is mainly due to price difference. The country is facing losses due to the smuggling of fuel oil bought with foreign currency dollars. Automatic price of fuel oil in Bangladesh is now determined every month in line with the global market. But despite that, there remains a huge gap between India and Bangladesh in fuel oil prices.
Currently, the diesel-petrol difference between Kolkata, India and Bangladesh is Tk 22 to Tk 25 per liter. However, due to the dollar crisis, the government of Bangladesh is struggling to pay the price of imported fuel oil. And that oil is being freely smuggled into India. As a result, the government has to import additional fuel oil to meet the demand which is increasing the pressure on the country's foreign exchange reserves. This information is known from sources related to Bangladesh Petroleum Corporation (BPC).
According to the relevant sources, the government has to spend about five billion foreign exchange every year to meet the import cost of fuel oil. 73 to 75 percent of the foreign exchange required for importing petroleum products is spent on importing diesel. But as the price of diesel is higher in different states of India compared to Bangladesh, an unscrupulous cycle is active in smuggling. A huge amount of crude oil is being illegally smuggled through various land ports and borders every day. Due to the low price of oil in Bangladesh, the oil tanks of trucks carrying goods from neighboring India are filled in Bangladesh. Every day, about 1000 trucks with imported goods enter Bangladesh through the country's ports. On their return, they filled the tanks and took diesel from different ports avoiding the eyes of port authorities and BGB. Many have also complained of carrying oil in separate tanks. Local oil traders bring oil from various oil pumps in the port area and sell it secretly to the truck drivers of neighboring countries. According to sources, a large amount of diesel is being smuggled from Bangladesh to neighboring countries through truck drivers.
Apart from this, there are allegations of diesel smuggling through the country's border. However, it is known that the trend of diesel smuggling has decreased compared to earlier due to the increased activity of BGB in various ports including Benapole. Diesel is selling at Rs 91.76 (Bangladeshi Tk 130.49) per liter in Kolkata. And in Bangladesh, diesel is being sold at Tk 105.50 per liter. Petrol is selling at Rs 104.95 per liter in Kolkata (Tk 149.25 in Bangladeshi currency) and petrol is selling at Tk 127 per liter in Bangladesh. In this situation, the difference in the price of diesel in the two countries stands at Tk 24.99 per liter and Tk 22.25 per liter of petrol. This difference in prices between the two sides of the border has created a huge business opportunity for smugglers on the Indian side of the border. On this occasion, several smuggling rings have developed on the border. Millions of liters of diesel are being smuggled from Bangladesh to neighboring countries through them.
Sources also said that out of 24 land ports in the country, 15 are operational. 1 crore 87 lakh 12 thousand 42 metric tons of goods have been imported and exported through those ports in the fiscal year 2022-23. 14 lakh 40 thousand 55 trucks traveled to import and export that amount of goods. Vehicles carrying goods across borders can hold between 250 and 300 liters of fuel. Some trucks also have tanks that can hold 400 to 500 liters of oil.
Meanwhile, experts and economists say that diesel prices in India are higher than in Bangladesh. In such a situation, smuggling is normal. Therefore, the oil price difference between the two countries should be reduced. It will also reduce the risk of oil smuggling. At the same time, if the pressure of additional oil import and illegal oil smuggling is stopped, foreign currency will be saved. Currently, the difference in diesel prices between India and Bangladesh is as much as Tk 25. Due to which trafficking is happening. Even if those involved in trafficking are brought under punishment, trafficking will decrease. On the other hand, Bangladesh Petroleum Corporation (BPC) Chairman Md Amin ul Ahsan said that measures will be taken to investigate the issue of oil smuggling in India. Fuel oil cannot be smuggled out of the country under any circumstances.
Acknowledging the fact that oil is being smuggled from Bangladesh to India due to the price gap, Muhammad Fawzul Kabir Khan, adviser on electricity, water and mineral resources, said that we will try to strike a balance between people's expectations and the formula of oil prices in the world market.
ZH
