Diesel prices cut but food inflation may rise due to fears of weak monsoon
GN Bureau | June 16, 2015
While food inflation continues to rise and fears of weak monsoon may further push up the prices of pulses and vegetables, the fuel retailers have added expenditure to the households budget by increasing the prices of petrol by Rs 0.64 a litre. However, those owning diesel vehicle can be at ease as the price of has been cut by Rs 1.35 a litre.
The rise and fall is to align the prices of the petro products with international prices and adjusting for foreign exchange rates. The exchange rate is important in determining the price as India imports about 80% of the oil its total consumption. State-owned fuel retailers IOC, BPCL and HPCL revise petrol and diesel prices on 1 and 16 of every month based on average imported cost and rupee-dollar exchange rate in the previous fortnight.
Prices of petrol and diesel were last raised by Rs 3.13 a litre and Rs 2.71 a litre, respectively, a month ago. "Since last price change, there has been an increase in international prices of petrol while international prices of diesel have shown a downward trend. Rupee-dollar exchange rate has depreciated during this period. Combined impact of these factors warrant an upward revision in prices of petrol and a downward revision in prices of diesel, the impact of which is being passed on to the consumers," Indian Oil Corp, the nation's largest fuel retailer, said in a statement on Monday.
"The movement of prices in international oil market and rupee-dollar exchange rate shall continue to be monitored closely and developing trends of the market will be reflected in future price changes," Indian Oil said.
Meanwhile, shares of oil majors Hindustan Petroleum Corp (HPCL), Bharat Petroleum Corp (BPCL) and IOC rise around 1 percent in early trade on Tuesday.
India has achieved a significant milestone as the number of Covid-19 tests conducted in the country so far has crossed the 1 crore milestone. This signifies the importance accorded to widespread testing and the focussed ‘Test, Trace, Treat’ strategy with several follow-up measures taken in tand
Half way through the year 2020, it has been a tough time all around the world: Covid-19 epidemic, loss of lives, economic hardships and also numerous other problems – natural disasters and political protests. Coming together, it all has mental health under immense strain. To discuss this and othe
In a first, the Department of Home Science, Sri Padmavati Mahila Visvavidayalam (Women’s University) Tirupati, Andhra Pradesh, recently organized an international webinar on “Nutrition and Immune System Support during COVID-19 Pandemic”. Speakers included eminent national and internationa
Even as Unlock enters the second phase, the number of Covid-19 infections continues to rise to record levels and India remains No 4 in the worldwide list, yet there is glimmer of hope: its recovery rate is also rising in tandem. There are 1,27,864 recovered cases more than the active Covid-1
A long-debated idea is finally coming to fruition as the Indian railways has decided to join hands with the private sector, in running some train services to begin with. The ministry of railways has invited ‘request for qualifications’ (RFQ) for private participation for operatio
Democracy in India is now taken for a fact, with an unstated assumption that all our institutions are democratic and hence often our successes and more often failures are attributed to ‘democracy’. However, a key frontier where democracy remains a challenge is that of local governments and that