India's oil tycoon Mukesh Ambani today said $60-80 a barrel price of oil was desirable and called for a "fair price mechanism" in the international crude market.
"I think we can live with the price range of $60-80 a barrel," Ambani, who promotes India's most valued private sector firm Reliance Industries, said at the World Economic Forum.
Crude oil is now trading below $42 a barrel, off from last year's high of $147, following drop in demand in recession-hit West. This has affected refiners' margins considerably.
"I think we need a range of (USD) 60-80, 50-70. The more important thing is how we can create the global architecture. How do we bring in more transparency, particularly in the forward market," he said.
Oil prices fluctuated greatly in 2008 peaking to $147 in July before tapering off. High prices in the initial months of last year fuelled inflation across economies, including India which saw the rate of prices expanding by over 12 per cent at one point.
India imports about 70 per cent of its crude oil requirements. Oil import bill in April-November of the current fiscal was $74.1 billion, 55.7 per cent higher than a year ago.
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Ambani said everyone has stake in the energy industry and all of them should know the nuances of the crude business.
"Even as consumers we need to understand who is buying, who is selling...How do we get accurate data and how do we get sensible oversight," he said.
"What we just need is a fair pricing mechanism," he said.