Petrol Price in India slashed by 95 Paise due to fall of Prices in International Market

Petrol Prices in Indian market on 15 November 2012 was slashed by 95 paise per litre. The decision came up as a result of the fall in oil prices in the International Market. The Indian market witnessed a second slash in the rates of petrol since 9 October 2012, in October there was a cut of 56 paise per liter in the price of petrol.

This slash in the petrol prices would bring down the prices of petrol in different states of the country and would vary from state to state due to the difference in the state and local taxes of different states. With this fall in rates of petrol in Delhi went down to 68.19 rupees to 67.24 rupees per litre. In Mumbai the price went down by 1.20 rupees and the petrol there would cost 73.53 rupees per litre, in Chennai the price went down to 70.57 rupees from 71.77 rupees. Kolkata saw a slash of 1.19 rupees per litre in the petrol prices and it would be available to the consumers at a rate of 74.55 rupees per litre.

Global Gasoline Rates helps in creating a benchmark in fixing the price of petrol in the domestic market.  

The gasoline rates also witnessed a fall in rates globally but declined and non-stagnant value of Rupees against the US dollar and would have an impact on the petrol prices in the coming future. The volatility of Rupees against the value of exchange rates of US dollar is being closely monitored to get out of the uncertainties about the direction in which future decisions would head towards.

The Union Government of India in June 2010 deregulated the prices of petrol by offering freedom to the oil companies for fixing the petrol rates following the costs prevalent in the international market. But this deregulation in the petrol prices also had no impact in getting the Indian Oil Companies in getting out of the losses with which they are overburdened and this happened because of the buckling political pressure on the oil companies to have a check on curbing growing inflation in Indian market.