Petrol, diesel prices to no longer pinch your pocket; retail fuel may remain cheap in coming months
People may not need to worry about a rise in petrol and diesel prices for months to come, as the retail fuel is set to remain cheap with the crude oil demand subdued across the globe. Crude oil prices are expected to remain low due to weak consumption. The global crude oil demand was hit hard by the coronavirus and the widespread shutdown of China’s economy, immediately after the first week of the year 2020. “Demand is now expected to fall by 435 kb/d on-year in Q1 FY20, the first quarterly contraction in more than 10 years. We have cut our 2020 growth forecast by 365 kb/d to 825 kb/d, the lowest since 2011,” said Oil Market Report – 2020 by International Energy Agency (IEA).
Petrol and diesel prices have significantly fallen since the beginning of this calendar year 2020. Both petrol and diesel prices fell over Rs 3 per litre in Delhi in the period, according to the figures provided by the IndianOil. The major reason behind the fall in the fuel prices is the sliding crude prices in the international market. Brent crude price has fallen around 15 per cent since the beginning of the year.
