There has been a huge fall in the price of crude oil in the foreign market. With this change in the price of crude oil, the hope of relief to the common people in India is increasing. With the price of crude oil coming down to the lowest level in many years, the possibility of reduction in the price of petrol and diesel has increased once again.
After years, the price came below $ 70
An AFP report shows that on Tuesday the price of Brent crude fell below $ 70 per barrel. This is the first time since December 2021 that the price of crude oil has fallen below $ 70. According to AFP, concerns have increased around the world about the slowdown in the economic growth. These concerns have affected the demand for crude oil, which is reflected in the prices.
Crude oil fell so much on Tuesday
On Tuesday, the price of Brent crude fell by 3.7 percent to $ 69.15 per barrel. At the same time, the price of West Texas Intermediate fell by 4.1 percent to $ 65.90 per barrel. This is the lowest level of crude oil in almost 3 years. This has increased the hope that government oil companies will consider reducing the retail price of diesel and petrol.
However, today the price of crude oil is rising. On Wednesday, Brent crude is trading at $70.22 with a rise of 1.49 percent and West Texas Intermediate is trading at $66.73 per barrel with a rise of 1.49 percent.
The price was cut 6 months ago
Three government oil companies in the country, Indian Oil Corporation, Hindustan Petroleum and Bharat Petroleum, sell diesel and petrol in retail. All three companies change the prices of diesel and petrol according to the price of crude oil in the international market. There has been no change in the retail price of diesel and petrol for almost 6 months. The common people were last given relief on 14 March 2024. At that time, the price of diesel and petrol was reduced by Rs 2-2 per liter.
Elections are going to be held in many states
The change in the prices of diesel and petrol is also being linked to the elections. The last time i.e. in March 2024, when the price was reduced, Lok Sabha elections were to be held in the country. After that, assembly elections are going to be held in many states. Due to this, it is expected that the government can once again give relief to the people. Currently, petrol is available in Delhi at Rs 94.72 per liter and diesel at Rs 87.62 per liter. At the same time, in many states of the country, the prices of diesel and petrol have crossed Rs 100 per liter.
Big decline continues since last week
There is a continuous decline in the price of crude oil globally. Last week, the price of Brent crude fell by about 8 percent, while the price of West Texas Intermediate fell by about 6 percent. This week too, the price of crude oil is declining. The current economic situation is indicating that crude oil may become cheaper. The support that was expected from the reduction in production by oil producing countries has also been postponed for the time being. The countries included in OPEC Plus have agreed to postpone the plan to increase production till October-November. Overall, after Holi, there are strong possibilities of another reduction in the price of diesel and petrol before Dussehra-Diwali.
Also read: Diesel and petrol will become cheaper! Why did these stocks fall on the hope raised after the fall in crude oil?
