Petrol price sees cut 4th day in row; Not much relief, stays at record high in metro cities
OMCs take into consideration the daily performance of international crude oil, government's excise duty and state's VAT for deriving final retail prices in India.
Each coming day consumers are ending up paying record high petrol prices in various state capitals. Today, the state-owned Oil companies decided to trim down petrol prices for fourth consecutive day in a row, however, there is nothing to be excited about the cut made in these two fuel product because rates still stay at record high levels. On Saturday, petrol price were cut in the range of 8 paisa to 9 paisa per litre each in various state capital of India. You are still paying over Rs 86 per litre in Mumbai, over Rs 78 per litre in New Delhi and Rs 81 per litre in Chennai. OMCs take into consideration the daily performance of international crude oil, government's excise duty and state's VAT for deriving final retail prices in India.
Today the petrol price of New Delhi stayed at high of Rs 78.20 per litre lower by 9 basis points compared to previous day price of Rs 78.29 per litre.
Going ahead India’s financial hub Mumbai has witnessed a situation where petrol price has hit Rs 86.01 per litre today, which is also down 9 paise against previous day price of Rs 86.10 per litre. This city has the most expensive petrol price. Over Rs 86 per litre has never been seen in this city.
Furthermore, Chennai saw petrol at Rs 81.19 per litre on Saturday, also below 9 paisa compared to previous price of Rs 81.28 per litre.
Now in Kolkata, the price were down by 8 paisa to Rs 80.84 per litre as against Rs 80.92 per litre of previous day. This would be third metro city to earmark over Rs 80s club.
Moreover, international crude oil prices retreated on Friday after the dollar rose on better-than-expected U.S. employment data, which pressured greenback-denominated commodities, including crude.
Therefore, as per Reuters report, U.S. West Texas Intermediate (WTI) crude futures fell $1.23 a barrel to settle at $65.81 a barrel. For the week, WTI was on track to drop about 3%, adding to last week`s near 5% decline. Global benchmark Brent fell 77 cents to $76.79 a barrel. It was set for a 0.4% gain for the week.
Following the above factors, from May 14 to till today, petrol prices have rose by Rs 3.62 per litre in Mumbai and Rs 3.60 per litre in Kolkata, whereas New Delhi had slightly higher hike by Rs 3.66 per litre and Chennai the most by Rs 3.85 per litre.