New Delhi: Petrol and diesel prices continued to remain on an upward trend, with rates going up for the second day in a row. Petrol prices were raised by 9-10 paise a litre while diesel rates were hiked by 7-8 paise a litre. Petrol today retailed at Rs 70.63 a litre in Delhi, Rs 72.71 in Kolkata, Rs 76.25 in Mumbai, Rs 73.29 in Chennai and Rs 71.2 in Bengaluru. Diesel was being sold at Rs 64.54 a litre in Delhi, Rs 66.3 in Kolkata, Rs 67.55 in Mumbai, Rs 68.14 in Chennai and Rs 64.9 in Bengaluru.
Petrol and diesel prices in India are broadly dependent on global crude prices and rupee-US dollar exchange rate. Both the crude oil prices and the rupee have remained in a narrow range in recent days. The rupee had closed 37 paise higher at 71.19 against US dollar on Monday. Meanwhile, global crude prices have fallen for a third day in a row on concerns over future oil demand amid forecast of weakening global economic growth. Global benchmark Brent crude oil futures were at $58.62 per barrel.
Global oil prices have fallen over 30% since early October. The recent supply curbs agreed by OPEC and its Russia-led allies might not bring about the desired results, analysts say.
In India, when global oil prices had hit four-year highs of $86 a barrel in October, petrol prices had a hit a record high of Rs 84 per litre in Delhi and Rs 91.34 in Mumbai. Diesel had also peaked at an all-time high of Rs 75.45 a litre in Delhi and Rs 80.10 in Mumbai.
Since then, petrol and diesel prices have fallen sharply in India. Compared to October 4 highs, petrol prices are down about Rs 13 to Rs 15 a litre in top cities. Similarly, diesel prices are off Rs 11 to Rs 13 a litre.
Besides global oil price and rupee-dollar exchange rate, central and state-level taxes also determine the final price what consumers pay at the pump. For example, based on November 19 retail selling price of petrol of Rs 76.52 in Delhi on November 19, this is the break-up of prices according to Indian Oil website: Price charged to dealers (excluding excise duty and VAT) Rs 38.63, excise duty Rs 17.98, dealer commission Rs 3.64 and VAT Rs 16.27.