New Delhi, Mar 26: India’s oil import bill is likely to jump by a quarter to USD 87.7 billion in the current fiscal year which ends this weekend as international oil prices have surged.
India had imported 213.93 million tonnes (MT) of crude oil 2016-17 for USD 70.196 billion or Rs 4.7 lakh crore.
For 2017-18, the imports are pegged at 219.15 MT for USD 87.725 billion (Rs 5.65 lakh crore), according to the latest data available from oil ministry’s Petroleum Planning and Analysis Cell (PPAC).
India relies more than 80 percent on imports to meet its oil needs.
During first 11 months of current fiscal (April 2017 to February 2018), the country imported 195.7 MT crude oil for USD 63.5 billion.
The basket of crude oil that India imports averaged USD 55.74 per barrel in the April-February period as compared to USD 47.56 a barrel in 2016-17 and 46.17 in 2015-16.
“April 2017-February 2018 crude oil imports are based on actuals and for March 2018, crude oil imports are estimated at crude oil price USD 65 per barrel and exchange rate Rs 65 to a US dollar,” PPAC said.
Every dollar per barrel change in crude oil prices impacts the import bill by Rs 823 crore (USD 0.13 billion). The same is also the impact when currency exchange rate fluctuates by Re 1 per US dollar.
Domestic crude oil production was almost flat at 32.6 MT in April-February. It was 36 MT in whole of 2016-17 and 36.9 MT in the previous fiscal.
As against this, domestic consumption has been rising — from 184.7 MT in 2015-16 to 194.6 MT in 2016-17. It was 186.2 MT in first 11 months of 2017-18, according to PPAC.