New Delhi: A decline in international crude oil prices has sparked expectations of relief for vehicle owners, but petrol and diesel prices in India have remained unchanged for now. Oil marketing companies have kept retail fuel rates steady despite the recent fall in global crude prices.
The drop in crude prices followed reports of a peace agreement between the United States and Iran and developments related to reopening the Strait of Hormuz, a key global oil shipping route. As a result, international benchmarks have moved closer to levels seen before the recent geopolitical tensions.
On Wednesday morning, Brent crude for August delivery was trading around $79.11 per barrel, while West Texas Intermediate (WTI) crude for July delivery stood near $76.22 per barrel.
Market watchers believe lower crude prices could eventually provide some relief to Indian consumers if the trend continues. However, fuel prices in India are revised by oil companies based on several factors, including global crude rates, currency exchange movements, taxes and existing losses.
As of June 17, petrol and diesel prices remained largely unchanged across major cities, with only minor differences of a few paise reported.
Fuel rates in major metropolitan cities
According to data from Indian Oil Corporation, petrol in Delhi is being sold at Rs 102.12 per litre, while consumers in Mumbai are paying Rs 111.21 per litre. In Kolkata, petrol costs Rs 113.51 per litre, whereas Chennai has recorded a rate of Rs 107.77 per litre.
Diesel prices currently stand at Rs 95.20 per litre in Delhi, Rs 97.83 per litre in Mumbai, Rs 99.02 per litre in Kolkata and Rs 99.55 per litre in Chennai.
Petrol prices (per litre):
- Delhi: Rs 102.12
- Mumbai: Rs 111.21
- Kolkata: Rs 113.51
- Chennai: Rs 107.77
Diesel prices (per litre):
- Delhi: Rs 95.20
- Mumbai: Rs 97.83
- Kolkata: Rs 99.02
- Chennai: Rs 99.55
Fuel prices had witnessed pressure earlier this year after international crude rates climbed following tensions involving Iran. Despite the recent decline in crude prices, oil companies have reportedly continued to face losses on the sale of petroleum products, including petrol, diesel, LPG and aviation fuel.
Retail fuel prices had increased multiple times in May after remaining stable for an extended period. Petrol and diesel rates were raised four times within an 11-day period following the conclusion of assembly elections in five states.
However, there has been no further revision since May 25, bringing some stability to fuel markets. Consumers are now closely watching global oil movements and waiting to see whether the recent fall in crude prices translates into lower prices at petrol pumps.
Experts say any reduction in domestic fuel rates will depend on whether crude prices remain low for a sustained period and whether oil companies decide to pass on the benefit to consumers.
