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Price hike dampens auto fuel demand in June

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Press Trust of India New Delhi

After seeing a growth of 15 per cent, diesel consumption rose by a moderate 3.3 per cent to 4.058 million tonnes (MT) while domestic LPG also saw demand falling from double digit to just 3 per cent at 9,14,300 tonnes.     

The government had on June 4 announced a record Rs 5 a litre increase in petrol, Rs 3 per litre increase in diesel and Rs 50 per 14.2-kg cylinder hike in domestic LPG prices.     

 

"The hike in fuel prices has had a sobering effect. While there has been a small shift of vehicles to CNG, people are burning less fuel," an official said.     

Oil product demand in June was almost unchanged at 10.51 MT. Despite dampening demand in June, the diesel consumption in April-June period was up 11.3 per cent at 13.36 MT while petrol demand grew 8 per cent to 2.79 MT. LPG consumption was up 7.6 per cent at 2.91 MT.     

ATF however saw a robust 8 per cent growth in consumption at 3,74,500 tonnes in June and 9.2 per cent growth in April-June at 1.16 MT.     

India imported 8.4 per cent more crude oil in June at 10.6 MT while inward shipment of petroleum products was down 27.1 per cent to 1.49 MT.

Exports were down 17 per cent at 2.97 MT because of domestic demand.     

In April-June, crude imports were up 2.1 per cent to 31.7 MT and oil products 6.1 per cent to 5.7 MT. Exports were down 13.6 per cent to 8.5 MT.

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First Published: Jul 23 2008 | 3:17 PM IST

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