More Than Half Of Forecourt Retailers Believe Illicit Trade Has Had A Negative Effect On Their Revenues
Published on Mar 27 2014 5:00 PM in Retail
55% of respondents to a retailer survey on the illicit fuel trade, carried out by Grant Thornton, believe that illegal fuel sales have had a negative effect on their revenues, while 72% believe the government's response to the issue has been insufficient to date.
Close to two thirds (62%) believe that their footfall decreases are as a result of illicit fuel being available, while 74% believe that organised crime is 'highly involved' in fuel laundering.
The study forms part of a new report from Grant Thornton, 'Illicit Trade, an Irish and global challenge'.
One potential solution to the issue that has been offered is price equalisation between the cost of motor diesel and agricultural diesel. Commenting at a conference to launch the Grant Thornton report, Retail Ireland's Frank Gleeson illustrated the difficulty in putting this in place.
"A rebate for farmers on fuel is the only possible solution, but the farmer lobby group is stronger than the retailer lobby group, and they don't want it to happen," said Gleeson. "However, I think it would wipe out the problem of illicit fuel tomorrow."
© 2014 - Checkout Magazine by Stephen Wynne-Jones