Argentina has decided to suspend its oil exports to solve the shortage problem and oil producers in Argentina will be prevented from exporting unless they increase fuel supplies, and Argentina can prevent oil producers from exporting crude outside the country unless it guarantees adequate domestic supplies amid ongoing fuel shortages.
The warning came from Economy Minister Sergio Massa, who is also a presidential candidate, and Massa said that “if the issue of fuel supplies is not resolved, companies will not be able to send export ships, Argentine oil belongs first of all to the Argentines”.
Massa added that some companies are blocking fuel supplies because of their bets that the government will devalue the official exchange rate after the presidential elections held last week, and these comments come amid fuel shortages that led to long queues at pumps and the closure of gas stations, as the lack of government dollars left ships waiting for fuel imports and stranded at sea.
Meanwhile, it quoted government officials as saying that the shortage will be filled soon with 10 shipments of imported fuel arriving soon, and the country’s energy minister told local media that the fuel distribution will take a few days, but it is supposed to solve the shortage problem.
The fuel shortage occurred earlier this month, and local media attributed it to the lack of dollars that prevented the government from obtaining enough imported fuel, causing long queues in front of gas stations and closing some of them as fuel ran out.
But energy minister Flavia ruyon attributed the shortage to an increase in tourist activity last week, as well as rumors of higher fuel prices after the upcoming elections, which will be held on November 19.
Argentina said last week that she and ruyon said: “a state of psychosis arose: we have to go to fill the tank,” and the energy companies operating in Argentina confirmed what ruyon said, saying that the shortage was the result of “excessive demand caused by the expectation of a shortage”.
Ten shipments of fuel will be imported in the coming days to address the shortage after the recovery of demand, as well as increased refining capacity.
