Rising crude prices have pushed India’s oil marketing companies into heavy losses.According to ICRA data, OMCs are losing around Rs 8 per litre on petrol, Rs 9 per litre on diesel, and Rs 300 per cylinder on domestic LPG as retail prices remain unchanged.
With Brent crude spot prices rising $12-$22 above futures due to Gulf tensions and Hormuz supply disruptions, Indian crude basket has hit $117.4 per barrel on Sept 21 vs average $66 in FY25-26.
Three state-run OMCs are incurring a joint daily loss of about Rs 530 crore, with cumulative net loss crossing Rs 18,000 crore in April-June 2026. If crude stays at $105-$115, under-recovery may hit Rs 64,000 crore and LPG losses may cross Rs 1 lakh crore annually, raising fears of a fuel price hike.
