Petrol Price Crosses Rs 94 In Mumbai As Rates Continue To Rise

On Wednesday, fuel prices continued to climb to new highs as international crude oil prices stage recovery to pre-covid levels and the Indian government provided no tax relief.

Rates were increased by 30 paise per litre by state-owned oil marketing companies to raise petrol prices to Rs 87.60 in New Delhi, Rs 88.92 in Kolkata, Rs 94.12 in Mumbai and Rs 89.96 in Chennai.

Diesel rates were hiked by 25 paise to Rs 77.73 in New Delhi, Rs 81.31 in Kolkata, Rs 84.63 in Mumbai and Rs 82.98 in Chennai.

These rates are revised every day primarily based on international oil prices and rupee's exchange rate.

In the international market, Brent crude futures, the global benchmark for oil prices, rose to $61.20 on Wednesday extending its more than week-long rally after industry data showing a fall in US crude oil stocks added to optimism about an expected rise in global fuel demand.

The benchmark crossed the $60 a barrel mark for the first time on Monday in over a year due to tighten supply by major producers and an improved outlook on economic activity after the roll-out of COVID-19 vaccines.

Global stockpiles in onshore tanks and floating storage are estimated by the International Energy Agency to have shrunk by about 300 million barrels since OPEC (Organization of the Petroleum Exporting Countries) and its allies made deep production cuts in May 2020.