US Iran Deal will reduce prices of petrol, diesel and LPG in India, everything from medicines to soap will become cheaper.

US Iran Deal Huge Economic Benefits To India: After 107 days of long conflict between America and Iran, now a big relief is about to come. Both the countries are going to face each other for historic peace talks at the Bergenstock Resort in Switzerland on Friday. There will be a very important discussion between the two countries on the implementation of this peace agreement and the entire further process. This important agreement to be signed between America and Iran on June 19 will bring huge economic relief for India.

India imports about 85% of its crude oil requirement from outside, which will become easier after this deal. A lot of positive things will change in the country as soon as the halted supply of oil and gas from the Strait of Hormuz becomes normal. Due to its effect, there will soon be a huge decline in the prices of petrol, diesel and LPG in the country. Besides, its direct and positive impact will be prominently visible on the country’s transportation and overall manufacturing cost.

Reduction in prices of petrol and diesel

During the war that started on February 28 this year, Iran had imposed heavy restrictions on the Hormuz Passage. Due to this, oil supply was disrupted due to which the prices of crude oil increased significantly in the international market. In such a situation, if the Strait of Hormuz opens completely, there will be huge import of unobstructed crude oil. With the increase in availability of oil in the market, the general public will get a big relief from the skyrocketing prices of petrol and diesel.

LPG cylinder and cheap household items

India is also dependent on imports for LPG gas and about 88% of LPG imports are through this particular route. With the opening of the Strait of Hormuz, adequate quantity of LPG cylinders will be available in India, which will provide relief to everyone. This will greatly help the government in keeping gas prices stable and reducing its heavy subsidy burden. Due to falling crude oil prices, bath soap, detergent, plastic packaging and many everyday household items will become cheaper.

Fruits, vegetables and agricultural goods cheaper

The use of diesel is not limited only to vehicles but it is also used extensively in farming and cold storage. The huge cost of transport plays an important role in delivering fruits, vegetables and other food items to the states. Due to diesel becoming cheaper, the cost of transportation of goods will reduce and the prices of all essential food items will reduce significantly. Apart from this, fertilizers coming from Gulf countries and many pesticides which protect crops from insects will also be cheaper.

Medicines, clothes and other essential items

Due to cheap synthetic threads and petrochemicals, the prices of readymade clothes, footwear, curtains and carpets will also fall drastically. Apart from this, the prices of many beauty products like cold cream, body lotion, lipstick and kajal will also fall to a great extent. Most importantly, essential medical products like medicines, syringes, glucose bottles, gloves and masks will become cheaper. With synthetic rubber used in making tires becoming cheaper, the cost of all auto parts and tires will also reduce.

Also read: US Iran Deal: Supreme Leader Mujtaba Khamenei claims, Donald Trump made this big deal out of helplessness

Big relief in plane tickets and EMI

Due to fall in crude oil prices, Aviation Turbine Fuel i.e. ATF will also become much cheaper which will benefit everyone. With this, airlines companies can give good discounts on air travel fares or offer cheap tickets to passengers. Due to cheaper petrol and diesel, the inflation rate will fall due to which RBI can reduce the interest rates if necessary. If this happens, common people will get huge relief in paying the EMI of their home loan, car loan and business loan.