Indian government’s firm foreign policy ensures petrol price stability 

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Published May 6, 2024 at 1:03pm

    Retail prices of petrol and diesel in India have remained steady

    EAM S Jaishankar says India didn't yield to Western pressure

    It's a strategy to manage inflation: Nirmala Sitharaman

According to energy analysts, the retail prices of petrol and diesel in India have remained steady because the country opted to import oil from Russia, which became its primary crude supplier last year.

Indian External Affairs Minister S Jaishankar stated that if India had yielded to Western pressure and refrained from purchasing Russian oil amidst the Ukraine conflict, petrol prices would have increased by 20 Indian rupees (INR).

Also Read: Tesla Inc. takes legal action against Tesla Power India Ltd over trademark dispute

During an election-related event in Cuttack, Odisha, on May 5th, Indian External Affairs Minister S Jaishankar emphasized that India faced pressure regarding the Russia-Ukraine conflict. He stated that India stood firm and made it clear that they would continue with their decision. Jaishankar estimated that if India had yielded to the pressure, petrol prices would have risen by 20 Indian rupees (INR).

In March, India’s petroleum ministry implemented a reduction in the retail prices of petrol and diesel, marking the first revision since April 2022. 

Energy analysts, speaking to Russian media house Sputnik, explained that this price reduction and the overall lower retail prices in India were made possible by the “windfall gains” achieved through New Delhi’s choice to import oil from Russia. This decision came at a time when global prices were rising due to the European Union’s decision to gradually eliminate imports from Russia.

“Windfall gains” refers to unexpected and significant financial benefits or profits that are obtained due to favorable circumstances or unexpected events, in this case, India’s decision to import oil from Russia.

India’s finance minister, Nirmala Sitharaman, referred to India’s choice to import Russian oil despite Western pressure as a strategy to manage inflation.

Official data from India reveals that retail prices in the country decreased by approximately eight percent in 2022-23, while energy import costs increased in countries like France, Italy, and the United Kingdom. 

With Russia as its primary energy supplier, India has fulfilled about 30-40 percent of its total energy requirements since last year.

Jaishankar expressed concerns about the next five years, describing it as a challenging period globally due to geopolitical and regional events. He predicted that India would face problems and pressure. 

He highlighted ongoing conflicts in Ukraine and the Middle East, tensions in the Arabian Sea and South China Sea, and the border dispute between India and China.

Jaishankar urged Indian voters to provide a stronger mandate to Prime Minister Narendra Modi’s government in the ongoing Lok Sabha election to effectively address these global challenges.

The current situation can be seen as a glimpse of what lies ahead. The true test is yet to come. Our ability to make a difference from Delhi depends on the substantial majority you grant us. Ultimately, our foreign policy accomplishments hinge on the strength of our domestic capabilities, as emphasized by Jaishankar.

(The author Girish Linganna of this article is a Defence, Aerospace & Political Analyst based in Bengaluru. He is also Director of ADD Engineering Components, India, Pvt. Ltd, a subsidiary of ADD Engineering GmbH, Germany. You can reach out to him at: [email protected])

Indian government’s firm foreign policy ensures petrol price stability 

https://newsfirstprime.com/wp-content/uploads/2024/05/WhatsApp-Image-2024-05-06-at-12.27.15-PM.jpeg

    Retail prices of petrol and diesel in India have remained steady

    EAM S Jaishankar says India didn't yield to Western pressure

    It's a strategy to manage inflation: Nirmala Sitharaman

According to energy analysts, the retail prices of petrol and diesel in India have remained steady because the country opted to import oil from Russia, which became its primary crude supplier last year.

Indian External Affairs Minister S Jaishankar stated that if India had yielded to Western pressure and refrained from purchasing Russian oil amidst the Ukraine conflict, petrol prices would have increased by 20 Indian rupees (INR).

Also Read: Tesla Inc. takes legal action against Tesla Power India Ltd over trademark dispute

During an election-related event in Cuttack, Odisha, on May 5th, Indian External Affairs Minister S Jaishankar emphasized that India faced pressure regarding the Russia-Ukraine conflict. He stated that India stood firm and made it clear that they would continue with their decision. Jaishankar estimated that if India had yielded to the pressure, petrol prices would have risen by 20 Indian rupees (INR).

In March, India’s petroleum ministry implemented a reduction in the retail prices of petrol and diesel, marking the first revision since April 2022. 

Energy analysts, speaking to Russian media house Sputnik, explained that this price reduction and the overall lower retail prices in India were made possible by the “windfall gains” achieved through New Delhi’s choice to import oil from Russia. This decision came at a time when global prices were rising due to the European Union’s decision to gradually eliminate imports from Russia.

“Windfall gains” refers to unexpected and significant financial benefits or profits that are obtained due to favorable circumstances or unexpected events, in this case, India’s decision to import oil from Russia.

India’s finance minister, Nirmala Sitharaman, referred to India’s choice to import Russian oil despite Western pressure as a strategy to manage inflation.

Official data from India reveals that retail prices in the country decreased by approximately eight percent in 2022-23, while energy import costs increased in countries like France, Italy, and the United Kingdom. 

With Russia as its primary energy supplier, India has fulfilled about 30-40 percent of its total energy requirements since last year.

Jaishankar expressed concerns about the next five years, describing it as a challenging period globally due to geopolitical and regional events. He predicted that India would face problems and pressure. 

He highlighted ongoing conflicts in Ukraine and the Middle East, tensions in the Arabian Sea and South China Sea, and the border dispute between India and China.

Jaishankar urged Indian voters to provide a stronger mandate to Prime Minister Narendra Modi’s government in the ongoing Lok Sabha election to effectively address these global challenges.

The current situation can be seen as a glimpse of what lies ahead. The true test is yet to come. Our ability to make a difference from Delhi depends on the substantial majority you grant us. Ultimately, our foreign policy accomplishments hinge on the strength of our domestic capabilities, as emphasized by Jaishankar.

(The author Girish Linganna of this article is a Defence, Aerospace & Political Analyst based in Bengaluru. He is also Director of ADD Engineering Components, India, Pvt. Ltd, a subsidiary of ADD Engineering GmbH, Germany. You can reach out to him at: [email protected])

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