42% of households in India to cut discretionary spending if petrol/diesel prices rise: Survey
NEW DELHI: At least 42 percent of Indian households would not be able to tolerate another increase in petrol/diesel prices and will have to cut discretionary spending if fuel prices go up in light of global crude surging past the $100/barrel due the to Russia-Ukraine conflict, according to the results of a survey by LocalCircles.
The survey received over 27,000 responses from citizens located in over 361 districts of the country.
One in two households believe their earnings will dip in 2022 given the current geopolitical situation and the pandemic.
On 24 February, Russian President Vladimir Putin ordered a “special military operation” into Ukraine, which will have wide ramifications for India too in the form of price surges, especially in petrol and diesel rates as crude oil surpassed $100 per barrel on the same day following Russia’s invasion. Domestic fuel prices, which are directly linked to international oil prices, have not been revised for a record 115 days in a row. Rates are supposed to be revised on a daily basis, but state-owned fuel retailers froze rates when the campaigning for election to five states started. Retail pump rates are aligned to a price of $82-83 per barrel and are likely to go up once elections end next month.
