Does Russia Really Suffer Fuel Shortage?

Maybe you can't believe, how can Russia, such a big oil producing country suffer fuel shortages ? For me, I just couldn't believe it! However, it is exactly what it is. According to "Russia”, at the end of April and the early May this year, Russia suffered a strain in gasoline supplies. While in st. Petersburg, KaShan, and coastal cities, it is more serious. At that time Russia once appeared a panic oil buying boom. Someone even exclaimed that Russia really run out of oil!

Chinese people may feel strange that Russia is such a big oil producing country, and an energy exporter as well, how could there appear phenomenon of petrol shortages? In fact, even the Russians themseleves also cannot figure out why the domestic gasoline price is higher than that of American, which is one of the biggest energy importers. In the social life program of Moscow Echo radio station, the host often asked the same question. And this problem always bothers the Russians,they could not figure out why the Americans enjoy much cheaper prices when refuelling. What it is that contribute to this phenomenon?

In the summer of 2010, Russia's southern city suffered a severe drough twhich triggered a forest fire. Thus Russian suffered a wheat crop failure, and then the domestic bread prices soared. Under such case, food dealers still busy selling wheat to the foreign countries, ignoring to attend to the domestic demand. Finally, Mr Putin had to order to greatly improve the export tariffs and whoever dared to speculate who would be investigated. So, Russia's food dealers had to give their priority to the domestic market. Therefore, the price of the bread finally fell  off. Since the beginning of this year, Russia came across the same situation. The price of 95 rubles is no longer appropriate to the domestic market, and floweing by 20 more rubles. Some places even appear the phenomenon of demands exceeds supply. For this issue, Mr Putin again had to control the tariffs and oil prices, which, of course, is to restrain the anger of the Russia citizens.

Although Russia's oil is not the true energy shortages, Russia's energy supply capacity worries people. Remember the end of 2008, Russian and Ukrainian again broke out a war of words for natural gas cost problem. At that time, Russia cut off natural gas supplies. Then Viktor Yushchenko, the head of Ukrainian President and chief economic adviser, said that what contributed to Russia’s shortage of oil was not because of Ukraine’s failure of paying the gas fee, nor the failure of reaching the contact agreement on the price of new natural gas, but because Russian had run out of natural gas! This chief economic advisers thought, Russia always came across problems in gas drilling. They can not meet the demand of European customer. However, they were afraid to expose their lack of production capacity. Therefore, Russia had to find other excuses for this issue.

From the saying of this expert, we also could not hardly see that Russia’s fuel shortages do exist. On the other hand, China has done a good job in dealing with this phenomenon. China manufacturers and suppliers are sparing their efforts to keep their conscence to protect the oil users’ benefits. ECVV, the famous B2B platform is also keep her eye on foreign trader’s benefits.

Resource:

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Key words:

Russia, fuel shortage, oil price, china manufacturers, ECVV

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