Saudi Arabia daily fighting of oil smugglers
The Saudi Customs revealed that its members arrest on a daily basis smugglers of petroleum products outside the country. Smugglers have been taking advantage of the lower prices for domestic consumers, and selling abroad at higher prices.
Saud Al-Fahd, the Assistant of the Saudi Customs Director General conveyed that truck drivers deliberately install additional tanks for fuel in order to smuggle it and sell in neighboring markets. “No doubt that the expatriate workers are selling diesel at high prices abroad, and possibly higher than the value of freight, therefore, we do not allow the installation of additional tanks in trucks,” he was quoted as saying.
Al-Fahd stressed that the Saudi market is characterized by the sale of petroleum products to the consumers at prices lower than their costs. These products include diesel, gasoline, kerosene and jet fuel. Therefore, the sale outside the Kingdom provides potential high profit margins. “Smuggling activities take place and we discover every day several cases,” the Saudi official said. Source: yallafinance.com.