Fuel sector warns of risk of supply shortages and calls for government action
Entities from the fuel sector in Brazil have issued a joint statement urging the federal government to take measures to prevent supply shortages.
On Friday, entities from Brazil's fuel sector, including representation from retailers, importers, refiners, and distributors, released a joint statement expressing concern over potential supply shortages of fuel in the country. The organizations, such as FecombustΓveis, Sincopetro, Abicom, Refina Brasil, Sindicom, and BrasilCom, are closely monitoring the ongoing conflict in the Middle East and its repercussions on the international oil and derivatives market. They have called for swift government intervention to mitigate the risk of a national supply crisis.
The statement highlights the urgency of addressing these risks given the volatile external market conditions. With fluctuating global oil prices greatly affecting local fuel prices, the entities urge the government to clarify the factors influencing fuel pricing, especially as consumers face uncertainty regarding fuel availability. The complexities of the market dynamics are compounded by the unpredictable nature of international conflicts that can disrupt supply chains.
In particular, the organizations point out that the diesel supplied to retail outlets as 'diesel B' must also be considered in the context of these potential shortages. As fuel supply continuity is critical for various sectors of the economy, the collective call from these associations underscores the necessity for a comprehensive governmental strategy to ensure stable fuel supplies amidst external shocks.