Crude oil price is decreasing in the international market. But in India, the price of petrol and diesel is gradually increasing. Why?

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    $\begingroup$ Hi. Welcome to Politics! This seems more like an economics question than a political question. $\endgroup$
    – Brythan
    Jun 3, 2016 at 12:19
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    $\begingroup$ Not necessarily. A similar thing occurred in Iran because of sanctions. Alternatively, domestic regulations could be responsible. Given the extent oil is a politicized commodity, I'm willing to bet the answer has at least a partly political answer. Political economy is still political. $\endgroup$
    – The Pompitous of Love
    Jun 3, 2016 at 14:19
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    $\begingroup$ Globally, the oil price has gone up by about 70% since January. The first sentence, and premise of the question, is false. $\endgroup$
    – 410 gone
    Jun 8, 2016 at 15:42
  • $\begingroup$ @Brythan The question seems to have migrated from SE Politics to here so why don't you remove you comment? $\endgroup$ Dec 14, 2023 at 16:04

1 Answer 1


To repeat EnergyNumbers's comment as an answer to this question, the following chart from the St Louis Federal Reserve shows the increase in the crude oil price in US Dollars in the first half of 2016.

Other factors also affect local diesel and gasoline prices and timings, but this increase will have contributed to the local change.

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