India's crude oil basket just fell below $40, now averaging at 10-year lows
India's crude oil basket fell to $39.49 per barrel (bbl) on August 2, 2016.
Although, not an average, but this price is lower than the average price India paid for its oil in March this year, at $36.42 per barrel.
What’s interesting is that these crude oil prices for Indian Basket are now at a 11-year low on an average basis.
As on March 2016, crude oil price average basket for the year stood at $ 46.17, which is the lowest since the year 2005-06.
The current price has also declined by 45.14% on an average against $ 84.16 of the year 2014-15.
If this status continues, then Indian oil marketers are likely to benefit from falling crude oil prices as their overall losses from selling fuel below cost diminish, says Livemint.
Indian aviation sector is also likely to benefit from this lower crude oil prices. With steady crude-oil prices and the government’s sharper focus are key drivers to shoot up demand for aviation sector, says Mayur Milak , research analyst of Anand Rathi.
In rupee terms, the price of Indian Basket decreased to Rs 2636.08 per bbl on August 2, as compared to Rs 2691.50 per bbl on August,1,2016.