Kyrgyzstan to Prohibit Circulation of Unmarked Fuel Starting 2025
Starting January 1, 2025, Kyrgyzstan will enforce a ban on the storage, sale, and transportation of unmarked gasoline and diesel fuel. This move aims to enhance regulatory oversight and reduce instances of tax evasion in the petroleum sector.
The State Tax Service has mandated that all entities involved in the handling of petroleum products must label any remaining unmarked fuel by December 31, 2024. The labeling system, which uses molecular markers, has already shown promising results. In November alone, excise tax revenues from fuel and lubricants increased by 59% compared to the same period last year, totaling 349.5 million soms.
The mandatory labeling of gasoline and diesel fuel was first introduced on October 1, 2024, for both imported and domestically produced products.
Kyrgyzstan’s adoption of labeling systems mirrors practices in neighboring Kazakhstan, where mandatory labeling applies to tobacco products, footwear, medicines, and jewelry. A pilot project for marking and tracking motor oil was launched in Kazakhstan in February 2024 to combat counterfeit products. The results of this initiative will be evaluated in February 2025.
With the upcoming ban on unmarked fuel, Kyrgyzstan seeks to strengthen its tax revenue streams and curb illegal fuel trade, ensuring greater transparency and accountability in the petroleum industry.