INSUBCONTINENT EXCLUSIVE:
India's crude import bill set to rise significantly on oil above $130The growing uncertainty in the global economy over the Ukraine crisis
and its disruption to trade and shipping services following sanctions on Russia, the Brent crude oil futures jumped to $130.89 per barrel
European ban on Russian oil imports and delays in Iranian talks triggered tight supply fears, after having climbed over 20% last week."Crude
prices posted their highest weekly gains since the middle of 2020
Brent prices gained 21 per cent, and WTI posted 26 per cent gains
Russia exports 4 million to 5 million barrels of oil daily, making it the second-largest crude exporter in the world after Saudi Arabia
We expect crude oil prices to remain firm amid geo-political tensions and rising demand," said Rahul Kalantri, Vice President Commodities at
Mehta Equities.Global crude oil prices have risen from around $80 per barrel on November 4, 2021, to over $130 per barrel today, an increase
revision in retail prices of Petrol-Diesel in Delhi took place on December 1, 2021, when the Delhi Government announced a sharp reduction in
offset the rise in crude oil prices since November 2021 was from Rs
The rise in crude oil prices over the last three days has further increased the pressure and financial burden on Indian oil companies
crude oil from its oil reserve stock
The other option is to reduce the excise duty and the Value Added Tax.Crude oil prices have been steadily increasing even before the Russian
against $73.30/bbl during December 2021 and $54.79 /bbl during January 2021.What has not helped is the crash in the rupee to a record low on
Monday, with the currency depreciation likely to hurt the import bill further in internation markets.Global Forecasting Agency Oxford
Economics has warned that high oil prices and inflation will weigh India's growth outlook.Oxford Economics its latest assessment report
last week said, "with global oil prices now expected to remain above $100 per barrel until the early stages of H2 2022, due to Russia's
invasion of Ukraine, and other commodity prices also pushing higher, India's growth is likely to remain relatively subdued throughout most
of 2022".According to India Ratings and Research, "A $5/barrel (bbl) increase in crude oil prices will translate into a $6.6 billion
increase in trade/current account deficit.
