Diesel sales fared much better than petrol, which rose 2.5% year-on-year in April, according to the provisional sales figures of state-run oil marketing companies.
About 93% of diesel consumed in the country is sold through petrol pumps while the balance 7% is directly sold by oil companies to bulk customers such as railways, shippers, miners, and transport companies.
Increased vehicle sales and demand for consumer goods boost sales of diesel, which is the primary fuel for long-haul trucks needed to transport raw materials to factories and transfer finished products to warehouses and retail stores.
Diesel, which comprises about 40% of India’s oil demand, has fully recovered from the Covid-led disruption. Its sales in April were 9.1% higher than in the same month of 2019.
Petrol, which recovered faster from Covid-lows, sold 18.5% more in April than in the same month in 2019.
Jet fuel sales, however, were still 4% below the level in April 2019, showing the aviation sector still needed some time to fully recover. They were, however, 15.4% higher than in April 2022.LPG, which is mainly used for cooking in the country, sold 2.7% less than in April 2022 and 16% higher than in the same month of 2019.
Fuel Sales Growth in April 2023
|Vs April 22||Vs April 19|
*State-run oil companies’ provisional sales data