State-owned oil marketing firms in India are facing massive losses following an increase in crude oil prices due to the West Asia crisis.
As per a report by rating agency ICRA, Indian Oil Corporation, Bharat Petroleum, and Hindustan Petroleum have incurred losses of ₹8 per liter for petrol and ₹9 per liter for diesel. The under-recovery for domestic LPG cylinders amounts to ₹300. Losses for these firms are projected to be about ₹530 crore per day.
ICRA has said that the basket price of crude oil imported by India stood at $117.4 per barrel on September 21, 2026, whereas the average import price in 2025-26 was $66 per barrel. Post the beginning of the West Asia crisis, the retail price increase from state-owned oil companies occurred only in May 2026.