Diesel and Petrol Price in Jammu Kashmir

An increase in fuel prices in Jammu Kashmir has affected not only the people who own private vehicles but also those who do not own one. It has become an essential part of our day-to-day life as it also affects the prices of other essential goods, such as food, textile, medicines, etc. Simply, it is a chain reaction, and when started, it will start affecting all. Petrol and diesel are essential fuels that play an essential role in daily life, from powering vehicles from cars to trucks to generating electricity.

Petrol Price In Jammu Kashmir

The petrol price in Jammu Kashmir is 98.09 (average). Considering the price, the highest petrol price in Jammu Kashmir is 99.92, whereas the lowest petrol price in Jammu Kashmir is 95.43.

Kupwara is the city with the highest petrol price in Jammu Kashmir priced 99.92, comparatively Samba has the lowest petrol price of 95.43.

The petrol price has been rising steadily in recent years, impacting the economy and its citizens. Some major factors influencing fuel prices include global crude oil prices, taxes, exchange rates, distribution and marketing costs, and refining costs. The rise in petrol price has led to an increase in transportation, causing inflation. Some local factors that affect the petrol price in Jammu Kashmir are government taxes used to generate revenue and finance various social welfare programs.

Diesel Price In Jammu Kashmir

The diesel price in Jammu Kashmir is 83.59 (average). Considering the price, the highest diesel price in Jammu Kashmir is 85.21, whereas the lowest diesel price in Jammu Kashmir is 81.28.

Kupwara is the city with the highest diesel price in Jammu Kashmir priced 85.21. While looking at the city with the lowest price, it is Samba with a price of 81.28.

The petrol price of diesel is rising for various reasons, including international crude oil prices, taxes imposed by the central and state governments, currency exchange rates, fluctuations in the international market, etc. The rise in diesel prices not only affects transportation but also impacts the agriculture and manufacturing industries. However, the government takes various steps to reduce the impact of rising diesel prices by offering subsidies, controlling taxes, and promoting the use of electric vehicles to reduce dependency.

Factors Affecting Petrol & Diesel Price In Jammu Kashmir

Here are some factors influencing fuel prices in the country and worldwide.

• Crude Oil Prices

Crude oil is also known as unrefined oil production in the international market. It is one of the main raw materials used in the production of petrol and diesel and the biggest factor that affects fuel prices. The changes in the price of crude oil impact the global prices of petrol and diesel in the respective country.

• Necessity Of Petrol

According to the reports, the number of two-wheelers and four-wheelers is steadily increasing in India, leading to increased demand for petrol and diesel. For this, the oil refinery companies in India must attain crude oil from the International market. Hence, the supply of petrol cannot always be fulfilled, as when the supply is less, the demand is more. Based on this economic principle, the price of both is supposed to increase.

• Taxes & Government Policies

Indian government imposes taxes on diesel and petrol, which also come with specific structures. Over the past years, the government of India has increased the tax rates many times. The changes can highly occur based on losses and marginal returns. Indian government use a dynamic fuel pricing system to determine the fuel prices, and it takes into account market factors, such as crude oil prices, taxes, and exchange rates, to calculate real-time fuel prices.

• Exchange Rates

Fuel prices are also influenced by the changes the in the exchange rates between the Indian currency and the US dollar. When the value of the Indian currency decreases, comparable to the US dollar, the cost of importing crude oil in the country increases, leading to fuel prices.

• Refining Costs

Refining crude oil into petrol and diesel requires additional costs, including maintenance, labour, and energy, which are later reflected in the actual fuel price. However, the cost of refining price can vary according to the refining process and the availability of its capacity.

Several surveys show that many Indians have decreased their usage of vehicles to control the use of petrol and diesel. Some reports also show that monthly bills for petrol/diesel were low because of working from home or commuting to work via public transport.