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Oil minister warns India fuel retailers can’t absorb losses forever as prices lag global rates
Economy
Published on 12 May 2026
A key decision looms over when pump rates adjust
India’s oil minister says state-run fuel retailers are racking up mounting losses because petrol and diesel are sold below market levels while pump prices stay largely unchanged. With global oil prices having surged, companies are taking the hit. Officials say full compensation would strain public finances, pointing to a bigger but inflation-aware pump price adjustment soon.
- State-run retailers are selling petrol diesel below market rates
- Pump prices haven’t moved despite global oil price surges
- Compensation is viewed as fiscally unsustainable
- A sizable inflation-aware price adjustment may be near
Read the full story at The Economic Times
This summarization was done by Beige for a story published on 
The Economic Times