Fuel prices fall further as coronavirus cripples demand

With international crude oil rates under pressure due to outbreak of coronavirus in China, fuel prices in India fell again on the fifth consecutive day on Monday. The price of petrol was cut by 6 paise and that of diesel by 5 paise across all major cities.

The petrol now costs Rs 73.04 a litre in Delhi, Rs 78.69 a litre in Mumbai, Rs 75.71 a litre in Kolkata and Rs 75.89 a litre in Chennai after the price cut.

Similarly, diesel costs Rs 66.09 a litre in Delhi, Rs 69.27 a litre in Mumbai, Rs 68.49 per litre in Kolkata and Rs 69.81 a litre in Chennai, according to the Indian Oil Corporation website.

This is the fifth consecutive day petrol and diesel prices were cut across all major cities.

Demand for fuel is likely to be on the lower side in the coming weeks as airlines are cancelling flights to China due to coronavirus, prompting slowdown in fuel consumption.

The retail prices of fuel are dependent on the international crude prices and the rupee-US dollar exchange rate as India imports almost 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.IANS