On May 8, 2026, consumers across India saw stable petrol and diesel prices, with rates holding steady in major metropolitan areas. This consistency in domestic fuel costs is notable given the backdrop of global crude oil market volatility, heightened tensions in West Asia, and disruptions impacting key international shipping routes.
Fuel Prices Across Major Indian Cities
Despite the global uncertainties, fuel rates in several key Indian cities remained consistent. While prices in many regions stayed below the ₹100 mark for diesel, petrol continued to retail above ₹100 per litre in some major hubs.
- Delhi: Petrol was priced at ₹94.77 per litre, with diesel at ₹87.67 per litre.
- Mumbai: Petrol retailed at ₹103.54 per litre, and diesel at ₹90.03 per litre.
- Kolkata: Petrol stood at ₹105.41 per litre, and diesel at ₹92.02 per litre.
- Chennai: Petrol was available for ₹100.84 per litre, and diesel for ₹92.39 per litre.
- Bengaluru: Petrol cost ₹102.96 per litre, and diesel ₹90.99 per litre.
- Hyderabad: Petrol was priced at ₹107.46 per litre, and diesel at ₹95.70 per litre.
Factors Influencing Fuel Prices in India
The retail price of petrol and diesel at the pump in India is a complex interplay of several factors, both international and domestic. The most significant determinant is the international price of crude oil, which serves as the primary raw material.
Global Crude Oil Prices
Fluctuations in global crude oil prices directly impact the cost of procurement for India, a major oil importer. Geopolitical events, supply-demand dynamics, and production decisions by oil-producing nations significantly influence these international benchmarks.
Rupee-Dollar Exchange Rate
Given that crude oil is traded in US dollars, the exchange rate between the Indian Rupee and the US Dollar plays a crucial role. A weakening Rupee against the Dollar increases the cost of imported crude, which can translate into higher retail fuel prices for consumers.
Taxes and Local Costs
Both the central and state governments levy various taxes on fuel, which constitute a substantial portion of the final retail price. These taxes vary by state, explaining why petrol and diesel rates differ across various Indian cities. Additionally, transportation costs from refineries to distribution points and local demand-supply conditions also factor into the final price consumers pay.