How Modi Govt’s Steps Didn’t Let Indians Feel the Heat of Petrol, Diesel Price Rise Globally

The decisive steps taken by the Modi government shielded common citizens from global oil price volatility, according to the response to an unstarred question in the Rajya Sabha.

The data from October 2021 to October 2023 shows the percentage change in diesel prices in major and neighbouring countries. Barring India, which saw a 1% point drop, most countries saw a rise. For instance, the rise in percentage points was witnessed in Sri Lanka (118), Pakistan (73), Nepal (53) and Bangladesh (45). The surge was seen even in the US (39), Canada (31), Spain (25), France (24), Italy (22), Germany (21) and the UK (13).

The drop in case of petrol price change was sharper in India at 5% points, whereas most countries saw a rise. The data for the same period shows the percentage point rise in Pakistan at 70, Sri Lanka at 60, Nepal at 40 and Bangladesh at 26. Other major economies too registered a percentage rise – the US (22), Spain (16), France (15), the UK (10) and Canada at 8.

Union Minister for Petroleum and Natural Gas Hardeep Singh Puri recently said that the oil prices in the country came down because of the Modi government’s measures. “Worldwide the prices went up around India by 70-80%, in North America by 40-50%, India prices came down by 5% that’s because of the decisive steps PM Modi has taken,” he said.

Speaking at the CNN-News18 Town Hall in Delhi in June, he had said, “Price rise is evident in opposition-ruled states. BJP-ruled states are performing better than opposition-ruled states as VAT has been reduced. We are keeping fuel prices low despite high imports.”

External Affairs Minister S Jaishankar, speaking at the National Institute of Technology in Delhi, had said, “Without a good foreign policy, the petrol price would be much higher, the cooking oil price would be too, and the price of your next iPhone will be higher too.”

Jaishankar also spoke about India’s position on the Russia-Ukraine war, saying that the interests of Indian citizens have to and must be prioritized in diplomatic relations with other nations.

From a market share of less than 1 per cent in India’s import basket before the start of the Russia-Ukraine conflict in February 2022, Russia’s share of India’s imports rose to 1.96 million barrels per day in May, taking a 42 per cent share. OPEC supplied 1.8 million bpd out of 4.7 million bpd oil India imported in May. This was down from 2.1 million bpd imported in April, according to Vortexa.