Due to the deepening war between Israel and Iran, the prices of crude oil are skyrocketing in the global market. In this context, a new front of inflation has opened within the country. Recently, an increase of Rs 2 was seen in the prices of power petrol, now a news has come which has increased the concern from industries to the common consumer. There has been a huge one-time increase of Rs 22 per liter in the price of industrial diesel in the country.
According to the latest information given by Indian Oil Corporation (IOCL), there has been a huge jump in the prices of industrial diesel. Diesel, which was available at Rs 87.67 per liter till yesterday, has now jumped to Rs 109.59 per litre. The main reason behind this huge increase is the rising prices of crude oil at the global level. According to oil companies, these new and increased prices have become effective across the country from Friday, March 20. However, there may be slight variations in these prices depending on the local taxes and rules of different cities.
If you are worried about your vehicle's tank after hearing this news, then you can heave a sigh of relief. This is not the normal diesel which is filled in passenger vehicles at common petrol pumps. It is called 'bulk diesel' or industrial diesel. Oil companies sell this special diesel directly to factories, large factories, industrial plants and heavy commercial operations. There is no subsidy of any kind on this diesel for commercial use.
Even if this diesel is not used in your personal car, it is going to have a deep impact on your household expenses. This diesel is used in running any factory, electricity production and transportation of goods from one place to another. Now when the fuel used in factories will become costlier by Rs 22, the cost of production is sure to increase. Due to increase in transport and electricity expenses, there will be a huge reduction in the profit margin of the companies. Whenever a company's costs increase and profits decrease, it compensates for it by increasing the price of the final product. This means that in the coming days, everything from everyday goods to everything that is made in these factories may become expensive.
