New Delhi – Reuters:
India, the world’s third largest importer and consumer of oil, said yesterday that the decision by major crude producers to continue production cuts at a time of rising prices may threaten a consumption-led recovery in some countries.
India’s Minister of Petroleum and Natural Gas Dharmendra Pradhan told Reuters: “As one of the major crude consuming countries, India is concerned that such moves on the part of the producing countries have the potential to undermine the consumption-led recovery and hurt consumers even more, especially in our highly vulnerable market. At the price ».
India, hit hard by high oil prices, urged producers to ease production cuts and help the global economy recover from the coronavirus pandemic.
Pradhan said, “We were really hoping that OPEC and” OPEC + “would ease production cuts to some extent, taking into account the fragile recovery of the global economy, especially in developing countries.
Rising oil prices pose financial challenges for India, as retail prices for heavily taxed fuel have recently hit record highs, threatening a demand-driven recovery.
India, the third largest economy in Asia, imports about 84 percent of its oil needs, and relies on supplies from the Middle East to meet about three-fifths of the demand.