95% of the Russian fuel exports have been banned by the government

Sergey Kondratiev, Principal Director on Economic Studies at the Institute for Energy and Finance, commented to the TASS news agency on the export of Russian petroleum products.

MOSCOW, September 21. /TASS/. The government of the Russian Federation nevertheless took drastic measures in the fuel market, which a TASS source in the Cabinet of Ministers had previously mentioned, and imposed a ban on the export of gasoline and diesel with a number of exceptions.

Although the Cabinet of Ministers has introduced several exceptions to the ban, they are not significant in terms of export volumes, Sergey Kondratiev told TASS.

"In my opinion, this is a very serious and important decision for the industry. We know that, for example, Russia has a large surplus on diesel fuel and stopping exports for a few weeks may lead to a reduction in processing simply because the domestic market cannot absorb such volumes, and there is not much storage capacity," he said.

"I think that more than 95% of diesel and gasoline exports are now subject to restrictions. I think this will be a temporary measure in order to "bring down" the growth of prices in the domestic market and develop new mechanisms for regulating the market. If such restrictions are in effect for several months, it will be difficult for both the industry and the budget," the expert warned.