Petrol, Diesel prices likely to rise as US sanctions waiver on Iran oil ends today

Experts believe that if the supply is stopped from Iran, then crude prices may increase. In such a situation the prices of petrol and diesel for retail consumers will also go up.

Hyderabad: India's exemption from the ban on the purchase of crude oil from Iran has ended on May 2, 2019. To ensure adequate supply in the domestic market, India has indicated to increase supplies from major oil producing countries like Saudi Arabia, Iraq and UAE.

The US has announced the removal of the exemption to purchase crude oil from Iran which was given to India till May 1. India used to import around 12% of its requirements of crude oil from Iran. As per the available data, Iran supplied 2.39 million tonnes of crude oil to India in 2018-19.

As the concessions are over, now, India has to stop imports from Iran completely.

Experts are of the opinion that if supply is stopped from Iran, then crude prices are likely to increase. In such a situation the prices of petrol and diesel for retail consumers will also go up.

The statement issued by the US State Department said that the country which will not completely shut down oil import from Iran, will have to bear the US ban. The US State Department officials told the Washington Post on Sunday that the US would not give any rebate to import oil from Iran after May 2.