Foreign companies will soon be invited to enter into a joint venture with state-owned Myanma Petroleum Products Enterprise (MPPE) to distribute and sell petrol and diesel fuel, said an official.
“We are going to invite international companies for a joint venture … in the next two or three months,” said U Myin Zaw, a director from state-owned MPPE, which sells fuel at a wholesale and retail level.
“We want quality and price competition in the market,” he said.
Fuel retailing is currently limited to Myanmar companies, but it can be challenging to control the quality and price of local stations, said U Myin Zaw.
“If we let an international company into this business, the competition will create quality business,” he said.
MPPE is also currently conducting a tender for an international joint venture partner in the jet fuel business. Pre-qualified companies must submit their final proposals by July 25 for evaluation.
MPPE currently distributes jet fuel at 11 domestic airports, and looks to partner with a foreign company to improve practices. It plans to first begin at Yangon International airport.
Two foreign company will be initially allowed to form a joint venture for both the jet fuel and the petrol station projects.
Source: MYANMAR TIMES