Silence of oligopolies

12/05/2011

The authorities of Armenia like very much to speak about oligopolies and monopolies, and the need to fight them. Especially prime minister Tigran Sargsyan likes speaking about oligopolies and when he speaks about monopolies his face has a helpless expression like he does not know what he is speaking about. However, citizens feel the breath of monopolies and oligopolies every second. The proof is the fact that the prices of petroleum and diesel grew in all gas stations of Armenia within one hour. With this same synchronous style all the importers of petroleum announced that the reason of the price growth was the increased prices in the international market. They communicated this information in a manner that it seemed that they were doing a great favor to the Armenian people for being involved in that business, however they should also have been informed about the fact that the prices have gone down in the international market. For example, yesterday the prices of oil products have fallen down in the international markets. In the NYMEX stock market of New York the futures price of WTI type of oil fell down by 9,44 dollars as a result of the transactions on May 5 and the price was decreased to 99,80 dollars for one barrel. In the ICE stock market of London the futures of oil have fallen down by 10,39 and made 110,80 dollars for one barrel. Of course the importers will say that it is about the futures prices (transactions that will be delivered in the future) and now they are selling the products they have bought with high prices. However, when they say that the increased prices are resulted from the changes in the international market, again it is about the futures prices. In other words, all changes in the international market result only in growth of prices in Armenia.