Demand of fuel dips 11.7% in July

New Delhi, August 12

India’s fuel demand is beginning to flatline after showing signs of returning to life, as consumption dipped 11.7% in July, official data showed.

Fuel consumption, a barometer of economic activity in the country, had slumped by over 45% in April as nationwide lockdown halted most vehicular traffic and shut industries. However, with easing of lockdown restrictions, the demand picked up in May and June with month-on-month increase in consumption numbers.

However, mini-lockdowns imposed by states to contain the spread of coronavirus seemed to have stopped this recovery, with fuel demand falling 3.5% in July over the previous month.

Fuel demand fell to 15.67 million tonnes in July, 11.7% lower compared with 17.75 million tonnes consumption in the same month a year ago, and 3.5% lower than the June sale of 16.24 million tonnes. — PTI