Fuel sales decline as Covid-19 2nd wave hits demand

Petrol pumps have seen a sharp decline in sales due to the second wave of Covid-19 and rising fuel prices. While sales in urban pumps declined 50-60%, business in rural pumps dropped by 20-30%, according to least 12 dealers from Maharashtra, Haryana, Uttar Pradesh, Punjab, Rajasthan, Karnataka, Goa, Delhi and National Capital Region (NCR).

Fuel retailing, a weathervane of economic health, has been hit mainly by two factors—curbs in several states, and high prices of auto fuels, they said.

“The double whammy of Covid pandemic and rising fuel prices have hit our sales volume, and thus, margins. Currently, sales are down between 30% and 60% depending on location (rural and urban areas),” said Ajay Bansal, president, All India Petroleum Dealers Association.