Sudan: Jet Fuel Import Liberalization Opens Market, Ends Monopoly

• On October 12, 2026, the Sudan Ministry of Energy and Oil announced the liberalization of jet fuel and furnace oil imports for qualified national companies.
• This move aims to break monopolies and expand participation in the petroleum derivatives market, which was previously controlled by a few companies.
• New financial regulations require importing groups to obtain Sudan Central Bank approval and deposit 200 kilograms of gold as a guarantee.
• Each importing group is limited to a maximum of four companies under the new framework.
• The decision follows a recent memo from 24 Sudanese oil companies requesting a review of fuel import and financing regulations.

A crucial requirement mandates that companies obtain approval from the Sudan Central Bank for the issuance of necessary letters and financial guarantees related to these import activities.

The Sudan Ministry of Energy and Oil declared on Monday, October 12, 2026, that it has opened the market for qualified national companies to import jet fuel, specifically Jet A1, and furnace oil. This significant move aims to dismantle existing monopolies and foster broader participation within the petroleum derivatives sector, which has historically been dominated by a limited number of entities in the aviation fuel market.

In an official statement released on the same day, the Ministry confirmed that the opportunity to import both Jet A1 and furnace oil is now available to all eligible national companies that meet the specified import criteria. This initiative underscores a commitment to principles of transparency and ensuring equal opportunities across the fuel market. The Ministry also emphasized its ongoing dedication to securing a consistent supply of petroleum derivatives throughout the country and maintaining market stability, all within established regulatory frameworks governing import operations.

This announcement follows a recent appeal from 24 Sudanese oil companies. Just last week, these companies submitted a memorandum to General Abdel Fattah Al-Burhan, who chairs the Transitional Sovereignty Council, requesting an urgent review of the regulations pertaining to fuel imports and their financing mechanisms.

Accompanying the liberalization of Sudan jet fuel import, the Ministry of Energy and Oil has outlined specific financial and banking controls that must be adhered to by importing entities. A crucial requirement mandates that companies obtain approval from the Sudan Central Bank for the issuance of necessary letters and financial guarantees related to these import activities. This measure is designed to ensure financial stability and compliance within the newly competitive market.

One of the most notable stipulations is the requirement for importing groups to deposit 200 kilograms of gold as a financial guarantee. This substantial deposit is a prerequisite for engaging in the import of jet fuel and furnace oil. Furthermore, the regulations specify that any single importing group must not comprise more than four companies, aligning with existing controls applicable to the broader fuel import sector.

The decision to open up Sudan aviation fuel market competition holds substantial implications for the nation's civil aviation system. Jet fuel, or Jet A1, is recognized as an indispensable component for the efficient operation and safety of flights, directly impacting the continuity and reliability of air transport services. By breaking the monopoly and encouraging more players, the government aims to enhance the security of supply for this critical resource.

This strategic shift is expected to invigorate the petroleum derivatives market by fostering a more competitive environment. The introduction of more national companies into the Sudan A1 jet fuel import process is anticipated to lead to greater efficiency and potentially more stable pricing, benefiting the aviation sector and the broader economy. The Sudan Central Bank gold deposit requirement, while stringent, is part of the new framework designed to manage the financial risks associated with these vital imports.

Lawyers and compliance officers should advise clients on the new regulatory framework for jet fuel and furnace oil imports in Sudan, specifically the Central Bank's requirement for a 200kg gold deposit as a financial guarantee, to ensure compliance and facilitate market entry for qualified national companies.

Source: Original reporting via Sudan Tribune