Thai Syndicate Cashes In On Cheap Malaysian Fuel

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Smuggled petrol being transferred from modified lorries at a warehouse in Hatyai recently. (Thai police pic)BANGKOK: Thai police have uncovered a smuggling syndicate using vehicles with modified fuel tanks to transport hundreds of thousands of litres of fuel from Malaysia to Thailand each month.
Thai assistant national police chief Pol Lt-Gen Surachate Hakparn said the syndicate known as “Jae Fang” uses pickup trucks and lorries to deliver goods to Malaysia and then refill at petrol stations in Malaysia before returning to Thailand.
“The drivers will transfer the fuel from the modified vehicles to a storage facility at a warehouse in Hatyai, Songkhla, about 30km from the Thailand-Malaysia border.
“Initial investigations found a modified fuel tank can carry about 1,000 litres of fuel per trip. There are a number of pickup trucks making an average of 10 trips per day. The syndicate would transport hundreds of thousands of litres of fuel every month,” he said.
He added the syndicate would resell the smuggled fuel to local fuel pumps, fishing boats and farmers.
Investigations found that syndicate members would make an early start in the morning driving to the nearest border town in Malaysia to “deliver goods” and later refuel their vehicles. They would then return to the warehouse at the Thai border, unload the fuel and make more trips across the border.
Surachate said Thai police seized 2,000 litres of fuel and arrested two people at the warehouse in Hatyai recently.
He said Thailand lost more than 100 million baht per year (RM13 million) in tax revenues due to fuel smuggling.
There is a huge difference in diesel and petrol prices between Thailand and Malaysia. A litre of diesel costs RM2.15 in Malaysia but almost 33 baht (RM 4.24) in Thailand.
RON97 costs RM3.35 in Malaysia and RON95 RM2.05. In Thailand, gasohol 95 costs 36.85 baht or RM4.74 and gasohol 91 costs 36.58 baht or RM4.71. - FMT

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