Latest petrol price hike is the fifth price rise in past six months since government deregulated petrol price from its control. The total hike in past six months is around Rs 8.50/- and the petroleum ministry predicts further rise in future as the crude price in global market is on the rise. Since long the oil refineries were claiming deregulation of fuel price to cut down their losses. At last government gave in for petrol but diesel price is still under government control. So are kerosene and LPG as they directly impact the vote bank. But is it really so? Though the majority is not touched by the rise of petrol price directly but there are always indirect effects. So, any rise in fuel price fuels inflation. Hiking petrol price affects only middle class budget keep everyone else happy. Because government, in central or states garner more in terms of taxes. Let us see the approximate break ups of petrol price when it is Rs58.90 per liter. It is assumed that ex-refinery petrol price is ...
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