Diwali post-festive resurgence: Diesel sales show recovery, petrol witnesses marginal increase
Delhi : Diesel sales in India recovered from the dramatic drop seen during Diwali but were still lower than previous year. According to the data, petrol sales by three state-owned fuel dealers increased by 0.7% to 1.22 million tonnes in the first two weeks of December compared to the same period last year. According to the data, greater vehicular mobility in the first half of December was responsible for the rebound in diesel sales and modest improvement in petrol sales.
Why sale of diesel vehicles is important?
Diesel is the most popular fuel in India, accounting for over 40% of total petroleum product usage. 70% of all diesel sales in India are in the transportation sector. Because of the festivities around Diwali, transportation took a break, resulting in a drop in fuel sales. However, with the modest increase in vehicular movements of transport vehicles, diesel sales have returned, but they remain on the low side as compared to the same period last year.
What data showed for diesel consumption?
According to the data, diesel consumption was 3.15 million tonnes in the first 15 days of December 2023, up 0.7% from 3.13 million tonnes in the first half of November 2023. However, demand for diesel in the first half of this month was reportedly 8.1% lower than in the same period last year, with 3.43 million tons sold. Oil retailers report that the drop is mostly due to truckers taking a Diwali holiday to see their families. Petrol sales by three state-owned fuel merchants, on the other hand, increased 0.7% to 1.22 million tonnes in the first two weeks of December 2023, owing to increasing personal vehicle travel.
In the last few months, sales of gasoline and diesel have been fluctuating. Petrol usage fell by 9% in the first half of October 2023 compared to the same time the previous year. Diesel sales, on the other hand, fell by 3.2% within the same time period. The start of the festive season, however, with Navratri and Durga Puja, helped to reverse the slump. Diesel demand declined 12.1% in the first half of November compared to the same period a year ago.
