Fuel prices may fall sharply in India as Russia offers crude oil at huge discount

KOCHI: India is currently spending just $ 63.40 to buy crude oil. This comes after Russia's decision to offer a huge discount on crude prices. On April 4, the price was $ 103.48. The international market price was $ 101.06 per barrel. India's purchase is at a discount of $ 37.66.

The United States, Britain and the European Union have imposed sanctions on Russia, the world's second-largest oil exporter, in the wake of the Russia-Ukraine war. Most countries stopped buying Russian fuel. With this, Russia offered a huge discount for India.

Indian Oil, ONGC, Mangalore Refinery and BPCL have already booked fuel on the Russian offer.

Petrol and diesel prices may go down

• India's buying price rose to $ 129 a barrel last month. Currently, oil companies are raising fuel prices on a daily basis.
• During the last three weeks, petrol prices were hiked by Rs 10.83 and diesel by Rs 10.48.
• Petrol was priced at Rs 117.19 and diesel at Rs 103.95 yesterday (Thiruvananthapuram); This is a record.
• Discounted Russian oil will be available from next month.
• If oil supply companies are willing to market it, petrol and diesel prices will fall sharply.
• Last year, India spent about $ 10 billion to buy crude oil.

America's involvement in oil price drop

Crude oil prices rose to close at $ 140 a barrel last month. The decision by international energy agencies (IEA) countries, including the United States, to restrict oil imports and use reserves instead, has pushed crude prices down to $ 100.

From May, the U.S. will release 18 billion barrels of oil from the stock. Other IEA members will release 6 crore barrels.

The lockdown in China also led to a fall in prices.

Record demand for petrol

Total fuel sales in March rose 4.2 per cent to 19.41 million tonnes, a three-year high. Petrol sales rose 6.2 percent to an all-time high of 2.91 million tonnes. Sales of diesel, LPG and aviation fuel are also on the rise.