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Post by raghuvanshi on Nov 17, 2014 21:09:43 GMT 5.5
why the reliance jamnagar refinery sell all its products in western countries instead of having huge market in India??
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Post by Admin on Nov 17, 2014 21:26:21 GMT 5.5
Jamnagar Refinary is near the western coastal of India. As it has refined imported crude from Iran,alost 550 MMT for year. Hence it has go for more GRM - gross refinary margin. Therefore they has to export petroleum product at marginal rate of weighted average of 17.8% over other refinaries. Also it has to sell in Alternative petroleum product market ie. to Sri lanka Nepal over higher price rate than that of APM market. Also it has very positive geogarphical area 1. Coastal area is near 2. Port Mundra is very near which has highest draft of sea in India 3. Low maintainance and transporatation cost 4. High quality of petroleum products 5. private and subjective production
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ramki
New Member
Posts: 2
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Post by ramki on Nov 20, 2014 9:17:02 GMT 5.5
The reliance refinery is under special economic zone (SEZ) is meant to refine ‘imported’ crude and ‘export’ refined products. SEZ are exempt from central sales tax (CST) and cess payments. The government made agreement with reliance to export the all refined crude oil.so that government can maintain balance between exports and imports of petroleum products.IT can all get us currency dollar in exchange. moreover the reliance can refined the discount crude (tight oil) by the unit operation(distillation column, etc) are imported from outside on that govt didn't impose any kind of customs duty.
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