India’s annual fuel demand grew 0.2% in 2019/20, its worst growth rate in over two decades, dragged down by a hefty 17.8% decline in local consumption in March as steps taken to prevent the spread of COVID-19 dented transport fuel sales.
Consumption of refined fuels, a proxy for oil demand, totalled 16.08 million tonnes in March, data from the Petroleum Planning and Analysis Cell (PPAC) of the oil ministry showed on Monday.
Falling refined fuels sales in March points to sluggish industrial activity in Asia’s third largest economy, which according to some analysts is forecast to grow at 1.5-2% in 2020/21, its lowest in decades.
