Petrol and diesel demand in India slumps in July as monsoon sets in
India's petrol and diesel demand slumps in July as the monsoon sets in, reveals a report by PTI. The report claims that demand for petrol and diesel across the country witnessed a fall in the first half of this month, as compared to the previous month, as the onset of monsoon chipped away consumption of fuels in some of the sectors and restricted mobility as well.
Petrol sales slumped 7.8 per cent to 1.27 million tonnes in the first half of July when compared to 1.38 million tonnes of consumption in the same period of the previous month. Diesel, on the other hand, witnessed its consumption plummet by 13.7 per cent during July 1-15 to 3.16 million tonnes from 3.67 million tonnes of demand in the same period of the previous month, claims the report.
This slump in petrol and diesel demand comes right after the surge in demand for both in June owing to improved economic activity and excise duty cuts. Also, it was fueled by a surge in summer travel to colder areas of the country to escape from the heat and vacations during annual breaks at educational institutions.
With strong economic growth of 7.1 per cent, India's oil demand has been rising steadily since the country eased pandemic lockdowns in 2020. The monsoon months are traditionally low consumption months in the country when it comes to fuel purchase, but overall oil demand is expected to continue on its growth trajectory during the rest of the year, claimed the report quoting an industry official. The fuel demand is expected rise again after the monsoon during the festive season from September.