India’s crude oil import bill swelled
76% to $10.2 billion in July as compared to the corresponding month a year ago,
widening trade deficit and adding pressure on the fiscal deficit for the month.
The recent surge in international oil prices had
resulted in worsening of the current account deficit (CAD) and fiscal deficit
for the domestic economy apart from an inflated petroleum subsidy and high
The increase in oil import bill was result of a
53% rise in brent -- the benchmark for half the world’s crude -- to $74.35 per
barrel in July as compared to $47.86 per barrel during the corresponding month
India meets over 82% of its crude requirement
through imports. Its crude oil import bill in the first four months of the
present financial year increased 59% to $39.1 billion as compared to $24.6
billion reported in the corresponding period a year ago.
The total oil import bill, including petroleum
products for July, increased 67% to $11.5 billion. For the first four months of
the present financial year it increased 56% to $44.4 billion.
The sharp rise in the country's crude oil bill
led to its trade deficit widening to a 62-month high in July, which increased
to $18.02 billion, up from $16.61 billion in June.