Ocober 6, 2022: Kerosene and Domestic LPG (cooking gas) are considered politically sensitive items in India and neighbouring countries. These products have been subsidised though the subsidy on LPG has almost been withdrawn to a large extent. Click column Special Database for an update of the retail selling prices of kerosene and domestic LPG in India and neighbouring countries.

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October 4, 2022: Prices of petroleum products influence the rate of inflation in a big way. The rise in crude price following the Ukraine war pushed up the retail prices of petroleum products. The annual rate of inflation based on all India Wholesale Price Index (WPI) number is 12.41% (Provisional) for the month of August, 2022 (over August, 2021). Click Column Special Database for Weightage of crude oil, natural gas and petroleum products in Wholesale Price Index (WPI).

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September 26, 2022 | Strategic Crude Reserves: Can India Dangle The Bait For Middle East Crude Producers? | The proposal to ramp up capacity in the strategic crude storage was floated long before the latest crisis erupted. Since this is going to be an expensive proposition, the expansion project is proposed to be created through public-private participation. It isn’t going to be easy to find private partners who will be ready to stump up the funds, which is why there is growing talk that the money may eventually have to come out of the government’s Oil Industry Development Fund. India’s security concerns stem mainly from the threat that Pakistan poses. The perceived view is that Pakistan cannot sustain a war for more than two weeks. Put that in perspective: India has an oil storage capacity that is sufficient to meet two months requirements. The leading Middle East oil producers such as Saudi Arabia, UAE and Kuwait have a strategic purpose to create crude storage facilities. One must consider if such reserves are safer within one's own borders or provide greater security, during prolonged wars or against acts of sabotage if located outside one's territorial jurisdiction. This is where India can meld compulsion and convenience to create mutually beneficial outcomes for India and its friends in the Middle East. Will India consider offering countries like Saudi Arabia and its neighbours the opportunity to invest in the strategic crude storage reserves located here? Click Free Access column Petro Intelligence for details.