Fuel prices across India held largely steady on June 13 after a price hike on May 25. Global crude markets continue to remain on edge amid tensions in West Asia and disruptions to key shipping routes. After the May 25 hike, petrol prices have gone up by ₹2.61 per litre and diesel by ₹2.71 per litre as state-backed oil marketing companies (OMCs) work to recoup losses that were building up for months.
Ever since, petrol and diesel rates have been more or less stable. In Delhi, petrol crossed the ₹100-mark after the May 25 price rise, while diesel is priced at ₹95.20 per litre. Prices remain higher in Mumbai, where petrol has breached the ₹110-mark, and diesel sells for about ₹97.83 per litre.
Across major cities such as Bengaluru, Hyderabad and Kolkata, petrol prices are still above Rs 100 per litre, while diesel continues to be below Rs 100.
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Fuel prices in key cities (March 20)
| City | Petrol (₹/litre) | Diesel (₹/litre) |
| Delhi | 102.12 | 95.20 |
| Hyderabad | 115.69 | 103.82 |
| Kolkata | 113.47 | 99.82 |
| Mumbai | 111.18 | 97.83 |
| Bengaluru | 110.89 | 98.80 |
| Chennai | 107.87 | 99.66 |
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What drives petrol and diesel prices in India?
Fuel prices at the pump are shaped by a combination of global, economic, and domestic factors. At the heart of it is the international price of crude oil, the base raw material for both petrol and diesel, which has the single biggest bearing on what consumers ultimately pay.
The rupee-dollar exchange rate is another key variable, given that India relies heavily on imported crude. When the rupee weakens against the dollar, the cost of procuring crude rises, which can feed directly into higher retail fuel prices.
Why do prices differ across different cities?
On top of that, taxes levied by both the central and state governments make up a substantial portion of the final price, which is why petrol and diesel rates differ across states. Transportation costs and prevailing demand-supply conditions also factor into the retail price consumers see at the pump.
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