Petrol price likely to increase in upcoming weekly review

Price of petrol is likely to see another increase in the upcoming weekly review as rising global oil prices continue to exert pressure on domestic fuel costs, media reports said, citing industry estimates.

Petrol prices may go up by Rs4.75 per litre, adding to inflationary concerns and increasing transportation costs across the economy.

In contrast, high-speed diesel (HSD) prices are expected to remain stable, with estimates suggesting only a marginal increase of around 20 paisa per litre.

Although international diesel prices surged from $160.41 to $172.99 per barrel during the review period, a reduction of more than Rs20 per litre in customs duty offset much of the impact, preventing a significant increase for consumers and the transport sector.

The reports said that the rupee remained broadly stable at around Rs278.9 against the US dollar throughout the review period, shielding domestic fuel prices from additional exchange-rate pressure.

Market participants noted that the final pricing decision would depend on the government’s stance on petroleum levy, taxes and any last-minute currency fluctuations before the official announcement.

Analysts said that if no additional levy is imposed, diesel consumers could avoid a substantial hike, while petrol users are expected to bear the brunt of higher international gasoline prices.