Global oil prices have slumped further reporting a four year low of about $70 a barrel as OPEC (Organization of the Petroleum Exporting Countries), group of major oil supplying countries has taken a call against cutting back production. India accounting for nearly two-thirds of crude oil importer, it means that petrol and diesel prices may fall down further. As quoted by Hindustan Times, a Chairman of a leading oil company in country on anonymity said, “If the slide in oil prices continues, we can expect petrol prices to drop below Rs. 60 a liter from around Rs. 65 presently (in Delhi).”
In the recent past, petrol prices in the country have witnessed a sharp drop from Rs. 74 per liter to about Rs. 64 per liter as the international crude oil prices have dropped from Rs 6,600 per barrel in June to about Rs 4800 per barrel. India featuring as world’s fourth-largest oil consumer, imports about 190 million tonnes of crude oil every year for around $145 billion. And with every dollar decrease in oil prices, the government’s oil import bill reportedly also comes down by about Rs. 4,000 crore.
