Petrol and diesel prices across India remained unchanged on Tuesday, July 7, despite a decline in global crude oil prices over the past week as geopolitical tensions in West Asia continued to ease.
State-run oil marketing companies (OMCs), including Indian Oil Corporation (IOCL), Hindustan Petroleum Corporation Limited (HPCL) and Bharat Petroleum Corporation Limited (BPCL), kept retail fuel prices unchanged for the day, extending the status quo at petrol pumps across the country.
The decision comes even as international crude prices have softened, driven by improving geopolitical conditions and expectations of higher global oil supplies.
Oil Minister Rules Out Immediate Fuel Price Cut
Last week, Union Petroleum and Natural Gas Minister Hardeep Singh Puri indicated that the Centre is not currently considering a reduction in petrol and diesel prices.
According to the minister, lowering retail fuel prices at this stage is “not a legitimate idea” that the government is pursuing.
Fuel prices have also remained unchanged despite OPEC+ announcing another increase in crude oil production. The oil-producing alliance will raise output by 1,88,000 barrels per day from August 2026, marking its 50th consecutive monthly production increase.
Fuel Prices Rose During the US-Iran Conflict
Although international crude prices have fallen in recent weeks, fuel prices in India had increased multiple times during the four-month-long US-Iran conflict.
During the period, petrol and diesel prices were revised upward on four occasions, resulting in a cumulative increase of around Rs 7.5 to Rs 8 per litre since the conflict began.
Petrol Prices in Major Cities on July 7
- Delhi: Rs 102.12 per litre
- Kolkata: Rs 113.51 per litre
- Mumbai: Rs 111.21 per litre
- Chennai: Rs 108.01 per litre
- Hyderabad: Rs 115.73 per litre
- Bengaluru: Rs 110.89 per litre
Diesel Prices in Major Cities on July 7
- Delhi: Rs 95.20 per litre
- Kolkata: Rs 99.82 per litre
- Mumbai: Rs 97.83 per litre
- Chennai: Rs 99.66 per litre
- Hyderabad: Rs 103.82 per litre
- Bengaluru: Rs 98.80 per litre
Global Crude Oil Prices Remain Stable
Global oil prices steadied on Tuesday after reports that a tanker was struck by a projectile near the Strait of Hormuz, underscoring the continued security risks surrounding one of the world’s busiest energy shipping routes.
Brent crude continued to trade above $72 per barrel, while US benchmark West Texas Intermediate (WTI) hovered around $69 per barrel after a slight decline in the previous trading session.
Crude prices had fallen nearly 30% during the second quarter of 2026 after Washington and Tehran reached an interim peace agreement, easing concerns over potential disruptions to oil supplies from the Middle East.
What Determines Petrol and Diesel Prices in India?
Retail fuel prices in India are influenced by several factors, with international crude oil prices being the most significant.
However, the final prices paid by consumers also depend on refining costs, freight charges, central and state taxes, dealer commissions and the rupee’s exchange rate against the US dollar.
Although the Centre recently revised export duties on petroleum products, the move does not directly affect petrol and diesel prices sold at retail fuel stations across the country.