Petrol prices soared to fresh record high levels on Tuesday, and were hiked by 10 paise in metros. In financial capital Mumbai, petrol is now selling for Rs 89.54 per litre. In national capital Delhi, one litre of petrol is retailing at Rs 82.16. In Chennai, petrol is selling for Rs 85.31, while in case of Kolkata, the price is Rs 83.91.
Soaring petrol prices had led to a nationwide bandh, organised by the opposition last week. Earlier, yoga guru Baba Ramdev said he could sell petrol and diesel at as low as Rs 35-40 per litre — less than even half the prevailing market rates, if the government lets him do so. Asserting that high fuel prices could cost Narendra Modi government elections dearly, said that he could sell petrol and diesel this cheap if the government gives some tax relief. He also suggested that fuel needs to be brought under the Goods and Services Tax (GST) except for the 28% bracket.
In the wake of record-breaking fuel prices, the Karnataka government has issued orders to cut down petrol and diesel prices in the state by Rs 2 per litre. Chief Minister H D Kumaraswamy on Monday announced his JDS-Congress coalition government’s decision. Karnataka government’s decision to reduce the prices comes after Rajasthan, Andhra Pradesh and West Bengal governments took similar measures.
Meanwhile, oil markets dropped on Tuesday as the latest escalation in the Sino-U.S. trade war clouded the outlook for demand, although concerns over tightening supply offered prices some support. Brent crude futures had declined 27 cents, or 0.35 percent, to $77.78 per barrel by 0054 GMT, Reuters reported.
Source: financialexpress.com