Kyrgyzstan Holds Talks With Uzbekistan
Kyrgyzstan is discussing potential regular petroleum-product supplies of up to 20,000 tonnes per month from Uzbekistan, according to Chairman of the Cabinet of Ministers Adylbek Kasymaliyev.
Kasymaliyev said the issue had been discussed with Uzbek Prime Minister Abdulla Aripov. According to the Kyrgyz official, Uzbekistan has the capacity to supply around 20,000 tonnes of fuel to Kyrgyzstan each month.
The discussions concern potential supplies, while Kasymaliyev did not specify the exact mix of petroleum products, commercial terms or shipment schedule.
More Than 90% of Kyrgyzstan’s Fuel Is Imported
Diversification is particularly important for Kyrgyzstan because the country remains highly dependent on imported petroleum products. More than 90% of its fuel requirements are covered by foreign supplies.
Russia has traditionally been the main source of gasoline and diesel, but availability from the Russian market has declined. Bishkek is therefore exploring several alternative supply channels simultaneously.
Negotiations involve Belarus, China, Uzbekistan, Türkiye, Azerbaijan and European countries. Kasymaliyev said Chinese and Belarusian partners have already started supporting Kyrgyzstan with fuel supplies.
Uzbekistan Could Become an Additional Supply Channel
At 20,000 tonnes per month, potential Uzbek deliveries could reach as much as 240,000 tonnes a year if the same level were maintained for 12 months.
Uzbekistan offers an important logistical advantage because the two countries share a border. Fuel can therefore be transported without relying on lengthy transit routes through several other states.
However, 20,000 tonnes per month would not be enough to cover Kyrgyzstan’s total requirements. Bishkek is consequently pursuing several suppliers at the same time in an effort to reduce dependence on any single source.
Fuel Prices Are Expected to Rise
The Kyrgyz authorities continue to use government support measures to contain domestic petroleum-product prices. Kasymaliyev said budget subsidies have helped keep fuel prices in Kyrgyzstan below those in neighboring Uzbekistan and Tajikistan.
However, he warned that gasoline and diesel prices would gradually increase.
Final retail prices will depend on wholesale petroleum costs, transportation expenses and the commercial terms available from new suppliers. More complex logistics can increase the transport component of the delivered fuel price.
Supply Stability Matters for Freight Transport
Petroleum-product availability has a direct impact on Kyrgyzstan’s transport and logistics sector. Diesel remains one of the largest operating expenses for road carriers, meaning higher prices can increase freight transport costs.
Bishkek’s challenge is therefore not only to secure sufficient volumes but also to establish several predictable and stable supply channels.
Talks with Uzbekistan complement that strategy and could help Kyrgyzstan reduce the risk of fuel shortages as availability from traditional suppliers becomes more constrained.
Read also: Kyrgyzstan Seeks 100,000 Tonnes of Russian Fuel a Month
