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Smugglers cash in on Malaysian fuel--Customs go on the alert in the South

March 11, 2000

Smugglers are exploiting rising fuel prices with diesel from Malaysia instead of the usual contraband.

Diesel selling at six baht a litre in Malaysia is being sold for 8.14 baht to service stations and trawlers in Songkhla, Pattani and Phatthalung.

A suspected smuggler, Ussama Masae, 47, of Pattani, was arrested with 1,000 litres of diesel in Thepa district, Songkhla, recently, Anusit Kanjanapol, the Hat Yai customs chief, said.

Customs officers are keeping a close watch on smugglers, many backed by politicians, he said.

Marine customs units in Phuket, Satun, Songkhla and Surat Thani had also stepped up operations against smugglers in the Andaman Sea and the Gulf of Thailand.

Operators of 1,000 trawlers in Satun have decided to stay ashore because of the rising fuel costs, and transport operators are also feeling the pinch.

Anong Angsupanich, managing director of Satun Transport, said the firm might put up fares or cut services between Satun and Hat Yai from 70 to 35 trips a day.

In Nakhon Ratchasima, operators of mini-buses have applied to raise fares from four baht to five baht from April 1.

Komol Chanthip, a mini-bus driver, said while he still took in 400-500 baht a day, the daily cost of fuel had risen from 150 baht to 270 baht.

Prime Minister Chuan Leekpai yesterday shrugged off an opposition call for a general debate on the oil price.

A fuel tax cut was no answer because the government would have to raise other taxes to offset revenue losses.

The government was focussing on helping particular occupation groups and guidelines would be discussed at Monday's meeting of the National Energy Policy Committee.

uEconomic growth this year may be slowed by 3.8% if the average oil price moves to $29 a barrel, according to the National Economic and Social Development Board.

However, Sansern Wongcha-um, secretary general, said that growth would not fall below 4% even with the first quarter price hike.

Mr Sansern said the NESDB would Monday table a report on the effect of oil prices to the National Energy Policy Committee. The study showed that in the first quarter the oil price averaged $26 a barrel. The figures showed if the crude oil price rose by an average $26 a barrel, growth would slow by 0.5%. http://www.bangkokpost.net/today/110300_News09.html

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-- (Dee360Degree@aol.com), March 10, 2000