Petrol price down by 8 to 12 paisa, no change in diesel price for 3rd day in a row
From May 30, the OMCs are being forced to cut petrol prices despite Brent crude hovering near $73 per barrel.
The state-owned Oil Companies decided to keep petrol and diesel prices on opposite trend. OMCs have trimmed down the price of petrol in the range of 8 paisa to 12 paisa, while they decided to keep rates of diesel unchanged for third consecutive day in various state capitals of India. Petrol price in Mumbai saw the most cut today compared to other metro cities. This was despite international crude oil prices fell nearly one percent on Tuesday as trade dispute between the United States and China escalated triggering sharp selloffs in many global markets. State elections are expected to take place in Chhattisgarh, Madhya Pradesh and Rajasthan in late 2018, calling for major urgency in relaxing petrol prices to save the NDA government from facing the repeat of the Karnataka scenario.
Today in New Delhi, 1 litre petrol is priced at Rs 76.27 down by 8 paisa compared to previous day price of Rs 76.35. However, diesel in this city remain unchanged at Rs 67.78 per litre.
Similarly, Kolkata is charging Rs 78.94 for a litre petrol which is also below 8 paisa as against previous day price of Rs 79.02. Diesel here was valued at Rs 70.33 per litre.
India’s financial hub Mumbai has seen some relief in petrol price, as 1 litre petrol was priced at Rs 84.06 today down by 12 paisa versus previous day price of Rs 84.18 per litre. The city has been selling petrol over Rs 86 per litre. However, diesel price did not see any relaxation as price stayed at Rs 72.13 per litre.
In Chennai, 1 litre petrol here was priced at Rs 79.16 lower by 8 paisa compared to previous day price of Rs 79.24 per litre. On the other hand, diesel stayed at Rs 71.54 per litre.
According to a Reuters report, crude was also weighed down by expectations that producer cartel OPEC and key ally Russia will gradually increase output. The United States and China are threatening punitive tariffs on each other`s exports, which could include oil supplies, putting pressure on shares markets.
Therefore, Brent crude futures were at $74.69 per barrel at 0646 GMT, down 65 cents, or 0.9 percent, from their last close. US West Texas Intermediate (WTI) crude futures were at $65.24 a barrel, down 61 cents, or 0.9 percent.