OREANDA-NEWS. Indian Oil Corporation Ltd. has decided to effect the following price changes w.e.f midnight of 03rd /04th Jan'14

Increase in retail selling price of Petrol by Rs 0.75/litre (excluding state levies).

Increase in retail selling price of Diesel (Retail) by Rs.0.50/litre (excluding state levies).

Since the last price change, international prices of MS have increased from about USD 115/bbl to about USD 116.6/bbl, and the INR-USD exchange rate has depreciated from Rs. 61.88/USD to Rs. 62.00/USD . There is a continued volatility in the international oil prices because of geopolitical and economic developments around the globe.

In addition to above, in pursuant to GOI order dated 17th Jan'13, OMCs have been authorized to increase the retail selling price of Diesel within a small range every month until further orders. Accordingly, since then, Retail Diesel prices are being revised every month. In continuation of above, Indian Oil Corporation Ltd. has decided to effect the aforesaid increase in Retail Diesel prices. Even after the current increase, under recovery on Retail Diesel shall stand at Rs. 9.24/litre.

The Corporation is also suffering under-recoveries on sale of SKO (PDS) of Rs.37.33/litre & LPG (Dom) of Rs. 762.50/cyl.

For the year 2013-14, the Corporation is expected to incur under-recovery of Rs 74,700 crore on sale of three sensitive products (Industry: Rs 1,44,800 crore)

The movement of prices in international oil market and INR-USD exchange rate is being closely monitored and developing trends of the market will be reflected in future price changes.