Nation/City

Downward trend in fuel prices

Downward trend in fuel prices

The price of fuel in various part of the country has seen a downward shift on Friday because of the fall in crude oil prices in the international market. The prices of diesel and petrol in all the major cities have been slashed down by 40-44 paise. One litre of petrol today costs Rs. 75.57 in the National capital, Rs. 81.10 in Mumbai, Rs. 77.53 in Kolkata and Rs. 78.46 in Chennai. The prices of diesel are Rs. 70.56 per litre in Delhi, Rs. 73.91 in Mumbai, Rs. 72.41 in Kolkata and Rs. 74.55 in Chennai. 
Although both petrol and diesel are cheaper in Delhi than the other 3 metro cities, yet Delhiites prefer to go to the neighbouring cities of Noida, Gurugram and Ghaziabad to fuel their vehicle tanks because of the rates being more cheaper there. The Government of Uttar Pradesh and Haryana (both BJP ruled), had dropped VAT by Rs. 2.5 from October 5th following constant poking by the Centre. Arvind Kejriwal, Chief Minister of Delhi, has however refused to compromise so far despite protests by retailers who are demanding a cut in the VAT.
This October, fuel prices had skyrocketed because of the fluctuations that happened in the international market. The highest price was recorded in October, however, soon the rates started to drop down. 
The sudden drop in prices came after the United States softened its stand on Iran’s sanctions that allowed eight countries to continue importing oil from Iran temporarily. These countries include India, China, South Korea, Japan, Turkey, Italy, the UAE and Taiwan. 
Although people find diesel ridden vehicles to be more attractive than the ones running on petrol, Yet the price gap between the two automobile fuels has been constantly narrowing down. 
Retailers in the state are already bearing a loss of Re. 1 on each litre of oil and diesel sold in India after Arun Jaitley, Union Finance Minister, asked them to bear the cut and provide relief to the citizens.