Petroleum minister Dharmendra Pradhan urges OPEC to raise oil output

Reiterating his request of phasing out production cuts, Union minister of petroleum and natural gas Dharmendra Pradhan, in a high-level consultation meeting with OPEC secretary general Mohammed Sanusi Barkindo on Thursday, said that high crude prices is adding a significant inflationary pressure on India. “Crude prices should remain within a reasonable band, which will be in the collective interests of both consumers and producers and will encourage a consumption-led recovery,” Pradhan said.

The price of Indian basket of crude is currently at $73.2/barrel, up from $50/barrel in end-December, supported by global demand recovery and voluntary production cuts until July-end from major oil exporting nations. “Global crude oil prices are expected to hover in the range of $75-80/barrel until at least September 2021, but may revert to $75/barrel in case of higher Iranian supply and OPEC countries,” analysts at CARE Ratings said on Thursday.