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  • Category: Miscellaneous

    Petrol Price hike: How the pricing of India compared to other countries

    You will be baffled to know that petrol price for a liter is rupees 14 in Italy, 19 rupees in Cuba, 22 rupees in Bangladesh, 26 rupees in Pakistan, 30 rupees in Burma, 34 rupees in Nepal and Sri Lanka, 36 rupees in Afghanistan, how come the Petrol price in India for one liter would cost a whooping 82 rupees ? So one must know the costing being done in our country. Basic price is just rupees 16.50, for that Central tax at 11.80 percent is added, excise duty @ 9.75 percent, VAT @ 4 percent, state taxes at 8 percent and the total comes to 50.05 per liter only. For the balance 32 rupees, there is no reason or explanation given by oil companies nor the government. So it is a daring loot on the people. People need explanation from government and oil companies ?
  • #632116
    It is true that the price of petrol and diesel are very high in India. That is the reason many people wanted Petrol and diesel also into the GST act. But governemnt never wanted that to be done. This is simply because of revenue loss to the government.
    Even though the basic price is very less because of the heavy taxes by both central government and state government the price of this product has gone very high. The government knows that these days everybody requires these products for their day to day living. Whatever may be the price nobody is reducing their consumption. So the government understood the necessity and whenever any small necessity comes they will put some extra tax on this product. The only way to make the government und4rstand this is to reduce the consumption and don't give money unnecessarily in the form of huge taxes to the government.

    always confident

  • #632190
    It is true that the price of petrol and diesel are very high in India. The production cost of petrol is 34 rupees. Govt tax heavily and the consumer gets it at the price of 75-82 rupees per liter.
    In 2013 when crude price was 130 dollar per barrel in international market we were getting almost at the same price which is today. Central govt. and ststes govt. are making big money. A car honour has to pay 28 % GST+17 % luxury tax+ 14% road tax +150% Tax on petrol and diesel. This is disgusting. Govt should lower the taxes.

    The greatest wealth in this world is mental peace and good health.

  • #633237
    I don't think we can simply compare the petrol price of different countries. For instance, the population of Italy is 6.06 crores but that of India is 132 crores. For a moment let's imagine the cost of importing petrol/crude for such a vast population, then add the cost of getting it to the finished form and then transport it widely across the country (India is at least 10 time larger than Italy). Next would come the international conversion rates of INR to USD. Last would be the various taxes applied by the state and centre and the dealer's commission. So, the final bill for the petrol is certainly dearer to the consumer's pocket

    So, while our petrol prices are higher, I don't think we can just compare it with other countries just like that. We can certainly ask for an explanation but it would be similar to the above lines.

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