Petrol Price: Indian state-run retailers eye cut

NEW DELHI: State-run retailers may cut petrol prices from November 16, an industry source said, the first cut in nearly three years and the first in the 18 months since the government ended controls. The cut could be for at least INR0.60 a litre, or about one per cent, the source said. Softening Singapore prices have partially offset the impact of a declining rupee to offer a small window of opportunity for a cut. Price increases have been unrelenting hikes since the government freed sales in June 2010, sparking political and public outcry. “If the rupee continues at current levels and if Singapore FOB (free on board) gasoline spot prices continue to average $115.80 a barrel, oil companies may reduce basic prices by at least 60 paise a litre,” the source, who requested anonymity, told Reuters.

Published in The Express Tribune, November 13^th, 2011.