Fuel prices in India are shooting up after a global rise in the price of crude oil. Petrol prices have risen to a staggering Rs. 76.57 per liter in Delhi. Diesel prices have also risen to Rs. 67.52 in Delhi.
Domestic prices of petrol and diesel have gone up as high crude oil prices in the international markets, benchmark crude oil price for the Indian basket hit $ 76.43 per barrel last week the highest since 2014, and a weak rupee against dollar, which makes imports expensive, have forced the hands of the three state fuel marketing companies.
India imports roughly 80% of its crude oil. Another reason is that the Indian currency has fallen to Rs. 67.53 per dollar. The government’s levies high duties and taxes on crude which is another factor leading to the price rise. The government has ruled out any reduction in fuel prices owing to the current account deficit. For now, there is no respite in sight as crude prices are set to remain high and the Indian currency might weaken further against the dollar.
Read more from the Source Article: Business Today