Venezuelan gasoline station federation declares emergency, saying profits are unsustainable
The federation that groups gasoline station operators in Venezuela declared a state of emergency on Thursday, arguing that the income they receive from fuel sales is unsustainable, according to an internal document reviewed by Reuters and two sources in the sector. By Reuters The National Federation of Hydrocarbon Business Associations (FENEGAS) indicated in the letter addressed to its affiliates that the profitability of gasoline stations has plummeted and that many are on the verge of closing if there are no changes in the commercialization and distribution structure of fuels.
TL;DR
- Venezuelan gasoline station operators have declared a state of emergency due to unsustainable income.
- FENEGAS reports that profitability has plummeted, with many stations facing closure.
- Current profit margins are too low to cover basic operating costs such as personnel, maintenance, and fuel supply.
- Uncertainty in product availability and international price fluctuations have worsened the financial situation.
- The federation is calling for government intervention to standardize market conditions, set clear commercialization rules, and allow realistic profit margins.
- Failure to implement changes quickly could lead to imminent closures and further impact fuel supply.