Asia/Pacific News
India's Reliance Begins Singapore Bunker Trading Operation
Indian oil giant Reliance Industries Ltd. (RIL) this month began trading crude oil and refined produces in Singapore, Bloomberg reports.
RIL already trades naphtha and fuel oil from Mumbai.
It is understood that RIL will lease storage facilities in Singapore to blend gasoil, or diesel, as well as gasoline for supply to the Southeast Asian and Australian markets.
"Singapore will have its own trading book." said Mike Omar, head of Reliance Global Energy Services Ltd.
"We're looking to grow the manpower size over time.
"The increase will be dependent on the growth of the portfolio."
The move is said to be part of a plan by the Mumbai-headquartered company to expand in the region, particularly with respect to Indonesia and Australia.
RIL's Singapore business is said to have joined Singapore trade ministry's Global Traders Programme which offers tax incentives for businesses setting up in the city state.
India recently said it would exempt export-import shippers from its bunker duty regime in order to assist Indian box shippers' competitive position.
