New Delhi: Petrol and diesel prices remained unchanged across major Indian cities on Monday, August 10, despite a rise in global crude oil prices amid continued uncertainty over the Strait of Hormuz. State-run oil marketing companies kept retail fuel rates steady, meaning motorists in Delhi, Mumbai, Bengaluru, Chennai, Kolkata and Hyderabad will pay the same prices as previously applicable.
The stability in domestic fuel prices comes at a time when international crude markets remain volatile. Brent crude rose 1.44% to $84.79 per barrel, while West Texas Intermediate (WTI) increased 1.08% to $79.29 per barrel. The movement in crude prices has been closely linked to uncertainty surrounding the reopening of the Strait of Hormuz and developments involving Iran and Oman.
For consumers, the unchanged petrol and diesel rates provide some relief, particularly as higher crude prices can eventually increase pressure on domestic fuel costs.
Petrol prices in major cities on August 10
Petrol prices remained unchanged in the major cities tracked on Monday.
In Delhi, petrol was priced at Rs 102.12 per litre, while consumers in Mumbai had to pay Rs 111.21 per litre. Kolkata recorded a petrol price of Rs 113.51 per litre, and Chennai’s rate stood at Rs 108.01 per litre.
Bengaluru motorists were paying Rs 110.89 per litre, while Hyderabad recorded the highest petrol price among the six major cities listed, at Rs 115.73 per litre.
Petrol rates on August 10
| City | Petrol price per litre |
|---|---|
| Delhi | Rs 102.12 |
| Mumbai | Rs 111.21 |
| Kolkata | Rs 113.51 |
| Chennai | Rs 108.01 |
| Bengaluru | Rs 110.89 |
| Hyderabad | Rs 115.73 |
The figures show a considerable difference between fuel prices in different cities. Delhi had the lowest petrol price among these six cities, while Hyderabad had the highest.
Diesel prices in major cities
Diesel prices were also unchanged on August 10.
Diesel was available at Rs 95.20 per litre in Delhi, while the price in Mumbai stood at Rs 97.83 per litre. Kolkata recorded a rate of Rs 99.82 per litre and Chennai had diesel at Rs 99.66 per litre.
In Bengaluru, diesel was priced at Rs 98.80 per litre, while Hyderabad recorded a rate of Rs 103.82 per litre.
Diesel rates on August 10
| City | Diesel price per litre |
|---|---|
| Delhi | Rs 95.20 |
| Mumbai | Rs 97.83 |
| Kolkata | Rs 99.82 |
| Chennai | Rs 99.66 |
| Bengaluru | Rs 98.80 |
| Hyderabad | Rs 103.82 |
As with petrol, the diesel rates vary significantly from one city to another because the final retail price is influenced by several factors, including state taxes.
Why petrol and diesel prices differ across cities
Fuel prices in India are not identical nationwide.
Although global crude oil prices have an important influence on the cost of petrol and diesel, they are not the only factors determining what consumers pay at fuel stations.
The final retail price is also influenced by the rupee-dollar exchange rate, refining costs, central and state taxes, dealer margins and other components of the fuel-pricing structure.
State-level taxes are an important reason why the same fuel can cost considerably more in one city than another.
For instance, petrol remains significantly more expensive in Hyderabad than in Delhi, while Kolkata and Mumbai also record higher prices than the national capital.
This means that changes in crude oil prices do not necessarily translate into an identical increase or decrease at every fuel station across India.
Crude oil prices rise amid Hormuz uncertainty
The latest movement in international oil prices is closely connected to developments around the Strait of Hormuz.
Brent crude climbed 1.44% to $84.79 per barrel, while WTI rose 1.08% to $79.29 per barrel. The market remains sensitive to uncertainty surrounding the reopening of the strategic waterway, which is an important route for global energy shipments.
Iran has indicated that a deal with Oman concerning new shipping lanes was nearing completion, although the United States still has additional conditions to meet. The uncertainty has kept traders cautious and contributed to volatility in crude markets.
Any prolonged disruption or uncertainty around the waterway could have wider implications for international oil supply and prices.
Why the Strait of Hormuz matters to oil markets
The Strait of Hormuz is one of the world’s most strategically important energy routes.
A substantial volume of oil and other energy products passes through the waterway, making any disruption a major concern for global markets.
When traders fear that supplies could be disrupted, crude prices can rise as markets factor in the possibility of tighter availability.
For countries such as India, which depends significantly on imported crude oil, sustained increases in international oil prices can create additional pressure on the domestic economy.
However, the effect on retail petrol and diesel prices is not necessarily immediate.
Oil companies absorb higher input costs
Despite the increase in international crude prices, India’s state-run oil marketing companies did not change petrol and diesel prices on August 10.
According to the latest report, the companies continued to absorb higher input costs instead of immediately passing the increase on to consumers.
This decision has helped keep retail fuel prices stable even as international markets remain volatile.
However, the sustainability of such an approach depends partly on how long crude prices remain elevated.
If international prices continue to rise or remain high for an extended period, pressure could build on oil marketing companies to reassess domestic fuel prices.
What determines the price of petrol in India?
The price paid by consumers at a petrol station is made up of several components.
The cost of crude oil is an important starting point, but the final retail price also incorporates refining expenses, transportation and distribution costs, dealer commissions and taxes.
The exchange rate is another important factor because crude oil is traded internationally in US dollars.
If the rupee weakens against the dollar while crude prices are rising, the cost pressure on Indian fuel importers can become more pronounced.
Conversely, a stronger rupee or lower international crude prices can ease some of the pressure.
Taxes contribute to city-wise differences
State taxes are one of the major reasons for the variation in fuel prices across Indian cities.
Petrol and diesel are subject to central duties as well as state-level taxes and other charges. Because states have different tax structures, consumers can face different retail prices even when the underlying crude oil cost is broadly the same.
This explains why Delhi’s fuel prices can differ substantially from those in Mumbai, Bengaluru, Kolkata, Chennai or Hyderabad.
For consumers, the difference can become significant over a year, particularly for people who drive long distances regularly.
What unchanged prices mean for motorists
The decision to keep prices unchanged provides some immediate relief to motorists.
Commuters, transport operators and businesses that depend heavily on road transportation can continue to plan their fuel expenses without having to account for a fresh increase on August 10.
Stable diesel prices are particularly important for commercial transport because diesel is widely used by trucks, buses and other heavy vehicles.
Fuel prices can also have an indirect effect on the cost of goods because transportation expenses form part of the supply chain.
Fuel prices can influence household expenses
Changes in petrol and diesel prices can have a broader economic impact.
When fuel becomes more expensive, transportation costs can rise. Businesses may then face higher expenses for moving raw materials and finished products.
In some cases, those additional costs can eventually be passed on to consumers through higher prices for goods and services.
Diesel prices are especially relevant to logistics because road freight is an important part of India’s domestic supply network.
Therefore, stable fuel prices can help limit some immediate inflationary pressure.
Crude oil remains the key factor to watch
For Indian consumers, the direction of global crude oil prices will remain an important factor in determining the future outlook for petrol and diesel.
The current Brent crude price of $84.79 per barrel reflects a market that remains sensitive to geopolitical developments.
If tensions ease and shipping routes become more predictable, crude prices could come under pressure.
On the other hand, prolonged uncertainty or a disruption to energy shipments could push international prices higher.
The direction of the oil market will therefore remain closely watched by investors, policymakers, businesses and consumers.
Impact of the rupee-dollar exchange rate
Another factor that could influence India’s fuel costs is the exchange rate.
Crude oil is purchased internationally in US dollars. As a result, movements in the value of the Indian rupee can affect the domestic cost of imported crude.
A weaker rupee can make imports more expensive even if international crude prices remain unchanged.
Similarly, a stronger rupee can provide some relief.
This is why domestic fuel prices cannot be assessed solely by looking at the headline crude oil price.
Will petrol and diesel prices rise soon?
There is no certainty that petrol or diesel prices will increase immediately.
The latest data shows that oil marketing companies have kept prices unchanged despite the recent increase in global crude prices.
Future changes will depend on several factors, including international crude prices, currency movements, refining costs, taxation and the broader geopolitical situation.
If crude prices remain elevated for a prolonged period, pressure on domestic fuel prices could increase.
However, a fall in crude prices or easing geopolitical tensions could reduce that pressure.
Consumers should continue checking daily rates
Although major city rates are widely reported, fuel prices can vary between locations.
Consumers should therefore check the latest local rate before filling their vehicles, particularly when travelling between cities or states.
The daily pricing system means that rates can change depending on market and company decisions.
For people with high monthly fuel expenses, even a small change in the per-litre price can make a noticeable difference to their overall budget.
What motorists should watch this week
The key factors to monitor over the coming days are international crude prices and developments surrounding the Strait of Hormuz.
Any major change in the geopolitical situation could influence crude prices quickly.
At present, however, India’s retail petrol and diesel prices remain unchanged in the major cities listed for August 10.
For motorists, that means there is no fresh price increase to account for today.
Conclusion
Petrol and diesel prices remained unchanged across major Indian cities on August 10, despite a rise in international crude oil prices. Brent crude climbed 1.44% to $84.79 per barrel, while WTI rose 1.08% to $79.29 per barrel as uncertainty surrounding the Strait of Hormuz continued.
Petrol was priced at Rs 102.12 per litre in Delhi, Rs 111.21 in Mumbai, Rs 113.51 in Kolkata, Rs 108.01 in Chennai, Rs 110.89 in Bengaluru and Rs 115.73 in Hyderabad.
Diesel rates stood at Rs 95.20 per litre in Delhi, Rs 97.83 in Mumbai, Rs 99.82 in Kolkata, Rs 99.66 in Chennai, Rs 98.80 in Bengaluru and Rs 103.82 in Hyderabad.
The stability in domestic fuel prices comes despite higher global crude costs, with state-run oil marketing companies continuing to absorb the additional input pressure rather than immediately passing it on to consumers.
For Indian motorists, the outlook will largely depend on how crude prices move in the coming days and whether uncertainty around the Strait of Hormuz eases. If global oil prices remain elevated, pressure on domestic fuel rates could increase, making geopolitical developments and international crude movements important factors to watch.