New Delhi: India's oil import bill may fall further in the remaining period of the current fiscal with Saudi Arabia looking at giving discount in crude it sells to Asian Buyers.
Analysts tracking the development said that the benchmark Dubai prices of oil have fallen and so have the gross refining margins.
If this holds, a 10-20 cents per barrel discount on Saudi light crude would be available from December onwards.
• Costing Rs.25 a litre and sold at Rs.88, Petrol in India to become dearer
• Hakim Ajmal Khan: Founder and First Chancellor of Jamia Millia Islamia
• Muslims produced female physicians 700 years before Americans got one
• Via Fashion, Art and Mass Media, Muslim Women are New Cultural Global Leaders
The development is positive for India that imports maximum oil from Saudi Arabia after Iraq. Any discount on oil prices is expected to set the ball rolling for cheaper oil imports from other oil producing countries as well.
India imports 85 per cent of its domestic oil requirements. So any change in oil prices results in big savings for the country.
For India, good news is also coming from global developments in the oil market where prices are expected to remain soft in the absence of any big pick up in demand due to the Covid-19 pandemic while the market remains oversupplied with oil.
The benchmark Brent crude prices witnessed a drop in the preceding week, falling from a level of $42 a barrel to just about $38 a barrel now.
India imported 227 million tonnes of crude for $101.4 billion in 2019-20. The import bill in the April-September period of the current fiscal (FY21) has already fallen by about 58 per cent to $22 billion as compared to an import bill of $52.6 billion in the first half of FY20 due to lower oil prices.
For all the latest News, Opinions and Views, download ummid.com App.
Select Language To Read in Urdu, Hindi, Marathi or Arabic.
Jamiat slams Modi govt's 'irrational' support to French President Macron
Dr Mukhtar Ahmad Ansari: A Committed Nationalist, Founder and 2nd Chancellor of Jamia Millia Islamia
Also Read
Maulana Mohammad Ali Jauhar: Founder and First Vice Chancellor of Jamia Millia Islamia
Hakim Ajmal Khan: Founder and First Chancellor of Jamia Millia Islamia
Jamia Millia Islamia and Shaikhul Hind Maulana Mahmud Hasan
Masjid-e-Nabawi: Little Known Facts and Inside View
