Petrol Diesel Price / Will the tension in the Middle East make petrol cheaper? Know what the whole game is

Zoom News : Jan 06, 2024, 08:55 AM

Petrol Diesel Price: The increasing tension in the Middle East is becoming a constant cause of difficulties for India. Due to this tension, the prices of crude oil in the international market have once again become unstable. Because of which the government and oil companies in the country have put on hold their plans to make petrol and diesel cheaper. For this reason, the country's Petroleum Minister Hardeep Singh Puri had to come forward and say that there was no discussion going on between the government and the oil companies regarding making petrol and diesel cheaper. He also hinted at the tension in the Middle East and said that the current situation does not allow this.

If we talk about the international market, the oil of Gulf countries has increased by 5 percent from the lower level of January 3. However, the prices still remain below $80. But experts say that crude oil prices may remain more unstable. Crude oil prices may reach $85 per barrel in the coming days. Let us also tell you what is the price of crude oil in the international market and whether the prices of petrol and diesel will reduce in the coming days or not?

Increase in crude oil prices

In the international market, after the market closed on Friday, crude oil from Gulf countries closed at $ 78.76 per barrel with a rise of one and a half percent. The surprising thing is that on Wednesday the price of Brent crude oil had gone below $ 75 per barrel and reached $ 74.79 per barrel. After that, till now it has seen a growth of 5.30 percent. If experts are to be believed, the price of Brent crude oil may reach $80 per barrel in the coming days. If the level of $80 is broken then there is a possibility of the price going up to $85 per barrel.

On the other hand, the price of American crude oil WTI also saw an increase of more than two percent and the price came to $ 73.81 per barrel. Whereas on January 3, American oil prices were below $70 per barrel and reached $69.28 per barrel. Since then it has seen an increase of 6.53 percent. According to experts, there should be no surprise if American oil reaches $75 per barrel by Monday.

What is the impact on India?

In fact, due to tension in the Middle East, the price of crude oil has remained high. The Houthi terrorist group is targeting oil shipping companies. Which is supported by Iran. On the other hand, the American army is not failing to target Houthi. At the same time, no solution has been found between Hamas and Israel yet. The countries of the Middle East have stood in support of Hamas. Because of which America and other western countries have also started uniting.

Apart from this, major OPEC countries have already reduced their oil production. The effect of which has now started becoming clearly visible in the prices. Due to which the price of crude oil is rising and its effect is being seen on India. The Indian government and oil companies were determined to reduce the prices of petrol and diesel. But the tension in the Middle East ruined the entire planning.

On the condition of anonymity, an expert said that the government will definitely take steps to reduce the prices of petrol and diesel before the general elections. But right now only the companies and the government are waiting for the tension in the Middle East to subside. Also, there is a wait to complete the deal with those countries which will provide cheaper oil to India than Russia. A few days ago, the Petroleum Minister had clearly said that the government is looking towards new suppliers and many countries are ready to become suppliers of India. Even after that petrol and diesel will be cheaper in the country.

Since when have the prices of petrol and diesel not changed?

On the other hand, there has been no change in the prices of petrol and diesel in India. The last change in the prices of petrol and diesel in the metropolitan cities of the country was seen on May 21. At that time, the country's Finance Minister Nirmala Sitharaman had reduced the tax on the price of petrol and diesel. After that some states tried to influence prices by reducing or increasing VAT. The interesting thing is that ever since the prices of petrol and diesel started changing daily in the country as per the international market, this is the first time that petroleum companies have not made any changes during the record timeline.

Price of petrol and diesel in major cities of the country