Subsidised Malaysian petrol still widely sold in Thailand

Subsidised Malaysian petrol still widely sold in Thailand

A drive along a 13km-stretch from the border town of Danok to Sadao found at least eight locations where the fuel was being sold on both sides of the road.

One of the stalls selling 1.5-litre and 2-litre bottles of RON95 petrol that is believed to have been smuggled from Malaysia. (Bernama pic)
SADAO:
The sale of subsidised RON95 petrol, believed to be smuggled from Malaysia, is still widespread in areas around the towns of Danok and Sadao, although it is said to be less rampant than before.

A drive along the 13km-stretch from the border town of Danok to Sadao detected at least eight locations where the fuel was being sold on both sides of the road.

Most of the petrol was placed in 1.5-litre and 2-litre bottles, arranged on wooden racks in front of premises like food stalls and vehicle repair shops near the main road.

The fuel is sold for 30 baht (RM3.89) to 35 baht (RM4.53) per bottle, which is cheaper compared with the retail price for petrol at Thai petrol stations, which is 35.45 baht (RM4.59) per litre. The retail price for RON95 petrol in Malaysia is only RM2.05 per litre as it is subsidised by the government.

According to a seller who declined to be named, most sales locations for Malaysian petrol are around the outskirts of Danok towards Sadao, which is closer to the Malaysian border.

The seller added that most of the petrol sold in bottles is purchased by motorcyclists, who have a higher demand for the fuel compared with other vehicle owners.

“Previously, the demand for Malaysian diesel was higher than petrol, but after the price of diesel was floated in Malaysia, fewer sellers deal in diesel because the profit margin is now much smaller compared with before.

“There used to be many diesel sellers but now most of them have stopped. Those still in business mostly sell petrol, and very few sell diesel,” said the man in his 30s, when met in Sadao yesterday.

A worker at a grocery store in Danok, who also requested anonymity, said that while the number of vendors selling subsidised Malaysian petrol has decreased, the fuel is still readily available.

He said that most vendors avoid selling in areas further from the border, like Hatyai, due to higher costs.

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