Petrol, diesel prices cut further on Thursday

Fuel prices were further reduced on Thursday due to slump in demand after the coronavirus was declared pandemic. The price of petrol was reduced by 15-16 paise and that of diesel by 12-13 paise across all major cities in the country.

Petrol now costs Rs 70.14 per litre in Delhi, Rs 75.84 per litre in Mumbai, Rs 72.83 a litre in Kolkata and Rs 72.86 per litre in Chennai after the price cut.

Similarly, diesel costs Rs 62.89 a litre in Delhi, Rs 65.84 a litre in Mumbai, Rs 65.22 a litre in Kolkata and 66.35 per litre in Chennai, according to Indian Oil Corporation website.

International crude oil prices fell on Wednesday after Saudi Arabia and the United Arab Emirates vowed to boost production, escalating a global price war between OPEC and its allies. Brent was trading at $33.86 per barrel, down by $1.98 or 5.52 per cent.

The travel and leisure industry has been badly impacted by the coronavirus after Italy locked down the entire country and the United States put a ban on travel to the country for at least 30 days.

The retail prices of fuel are dependent on the international crude prices and the rupee-US dollar exchange rate as India imports over 80 per cent of its crude requirements.

Domestic petrol and diesel prices are reviewed by oil marketing companies on a daily basis. Price revisions are implemented at the fuel stations with effect from 6 a.m.