Petroleum companies are preparing for a rise in fuel prices in the country as the polls draw to a close. The rise comes as crude oil prices have crossed $ 130 a barrel in international trade. The escalation of the Ukraine-Russia war has pushed up international oil prices.
The rise in crude oil prices in the international market is sure to be reflected in the prices of petroleum products in India. The government also wants the pump owners to increase the price of petroleum products by Rs 12 by March 16. After the budget, the central government announced that it would take steps to reduce the fiscal deficit, which would push up petrol and diesel prices.
The expected price hike for a liter of petrol and diesel is between Rs 15 and Rs 22. The government may also reject the demand for reinstatement of cooking gas subsidy. The depreciation of the rupee is also creating a major crisis. As the Ukraine-Russia war continues, inflation in the country will also push up inflation.