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New Delhi: The effect of increasing military tension between America and Iran in the Middle East is now clearly visible on the oil market all over the world. Amidst the continuous attacks and increasing concerns about oil supply, a rise in the prices of crude oil has been recorded in the international market. Along with this, oil import has also become expensive in India, due to which the question has started rising in the minds of people that what effect will it have on the prices of petrol and diesel in the coming days. At present, oil companies have released new rates, in which slight differences are visible in different cities.

After the conflict between America and Iran intensified, the prices of crude oil have gone up in the global market. The fear of breaking the ceasefire and affecting oil supplies from the Strait of Hormuz has increased the concern of investors. Apart from this, market instability has further increased after Iran indicated to put pressure on the Houthi group on oil exports through the Red Sea. The price of Brent crude increased by about 1.25 percent to $ 85.28 per barrel. At the same time, American West Texas Intermediate (WTI) crude was also seen trading at $ 79.98 per barrel with an increase of about 1.3 percent. In the last one week, both the major benchmarks have registered a rise of about 12 percent.

Oil import becomes costlier in India too

The effect of the boom in the international market is becoming visible in India also. In the last five to six days, the purchase of crude oil has become costlier for India by about 13 percent. However, at present government and private oil companies have not announced any change in the prices of petrol and diesel. According to the new rates released for July 17, the prices of petrol and diesel across the country are applicable as before. There is a difference in prices due to local tax and VAT in different states.

Latest prices of petrol in major cities of the country

Delhi: Rs 102.12 per liter
Mumbai: Rs 111.21 per liter
Kolkata: Rs 113.51 per liter
Bengaluru: Rs 110.93 per liter
Chennai: Rs 107.77 per liter
Patna: Rs 113.35 per liter
Chandigarh: Rs 101.51 per liter
Hyderabad: Rs 115.69 per liter
Bhubaneswar: Rs 108.97 per liter

Latest prices of diesel in major cities of the country

Delhi: Rs 95.20 per liter
Mumbai: Rs 97.83 per liter
Kolkata: Rs 99.82 per liter
Bengaluru: Rs 98.80 per liter
Chennai: Rs 99.55 per liter
Patna: Rs 99.36 per liter
Chandigarh: Rs 89.47 per liter
Hyderabad: Rs 103.82 per liter
Bhubaneswar: Rs 100.68 per liter

Increased concern over oil supply

Ongoing military activities in the Middle East have created new concerns about global oil supply. America has carried out air strikes in various areas of Iran for several consecutive days. According to the US Central Command, the aim of these operations is to weaken Iran’s military capability. On the other hand, Iran has also retaliated by targeting American military bases in the area through missiles and drones. According to reports, an American airbase located in Jordan also came under attack.

Crisis increases on Red Sea and Hormuz

Experts believe that if there is a disruption in oil supply through the Strait of Hormuz and the Red Sea, it could have an impact on the energy market of the entire world. It is being told that Iran has indicated to its ally Houthi group that if attacks on its energy infrastructure continue then pressure on the Red Sea oil route can be increased.

Market analysts say that if the price of WTI crude does not go down from the current level and remains above $70, then in the coming time it may reach $80 to $85 per barrel. In such a situation, its economic impact can also be seen on big oil importing countries like India.