On March 13, 2026, the Petroleum Refining Industry Club under the Federation of Thai Industries issued a statement aimed at creating a better understanding of pricing mechanisms and the real costs faced by the refining business.
1. Refining margin (Market GRM) is not the same as net profit
The group said that the refining margin, or Market GRM, cited in news reports as having risen from about 2 baht per litre to roughly 6 baht per litre, is only an indicator of the price spread in global oil markets and does not represent net profit.
The group said the headline refining margin does not take into account a number of major costs that refineries must bear, including crude oil premiums, freight charges and insurance costs, which have now risen by around 3-6 baht per litre. It added that operating expenses, gains or losses from oil inventories, and gains or losses from price risk management are also important factors that Market GRM does not reflect, meaning the figure cannot be used as a true measure of refinery earnings.