New Delhi, April 21: Despite rising tensions in West Asia and the closure of the Strait of Hormuz leading to increased Brent crude oil prices, fuel prices in India have remained stable. In contrast, several countries have witnessed fuel price hikes of up to 85%.
According to a report by NDTV Profit, data released by Kotak highlights a significant disparity between India and other developed and emerging nations, where fuel prices have surged this year, unlike in India.
In recent months, geopolitical tensions have caused a sharp rise in diesel prices across many countries. For instance, diesel prices in the UAE have surged by approximately 85%. Australia and the United States have seen increases of over 65% and 62%, respectively. Meanwhile, countries like Canada, Pakistan, France, Sri Lanka, and the UK have experienced price hikes ranging from 35% to 53%.
Conversely, countries such as China and Brazil have seen more modest increases, while in Russia, diesel prices have risen by just over 1%.
In India, however, diesel prices have remained unchanged at ₹87.6 per liter since January, despite ongoing tensions between the US and Iran.
A similar trend is observed in petrol prices. In neighboring Pakistan, petrol prices have risen the most, by 44%, followed by the US (42%) and the UAE (36%). Canada, Sri Lanka, and China have seen petrol price increases of up to 34%, while Australia, the UK, and France have experienced relatively smaller hikes.
Countries with minimal increases include Brazil and Russia, where prices have risen by 7% and just over 1%, respectively.
In India, retail petrol prices have also remained stable at ₹94.7 per liter since January, meaning consumers have not faced any price increases.
The stability of fuel prices in India indicates that government policies and the pricing mechanisms of public sector oil companies (OMCs) have played a crucial role in controlling prices. Despite fluctuations in the global market, Indian consumers have not felt the direct impact.
The report notes that for the first time since the deregulation of fuel prices, government oil companies are purchasing petrol, diesel, aviation turbine fuel (ATF), and kerosene from refineries at lower prices to mitigate losses from maintaining stable retail prices.
A separate report by brokerage firm Macquarie stated that if petrol and diesel prices remain at $135-$165 per barrel, Indian oil companies could incur losses of approximately ₹18 per liter on petrol and ₹35 per liter on diesel.
The report also indicated that a $10 increase in crude oil prices per barrel could raise the marketing loss by nearly ₹6 per liter.
My name is Narendra Jijhontiya. I am an experienced content writer with several years of expertise in the field. Currently, I contribute to Daily Kiran, creating engaging and informative content across a variety of categories including TECHNOLOGY, health, travel, education, and automobiles. My goal is to deliver accurate, insightful, and captivating information through my words to help readers stay informed and empowered.
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