India’s state-run Oil Marketing Companies (OMCs) might be planning to announce an increase in the prices of fuel, petrol and diesel in the country as basket of crude oil import price crossed the $123 a barrel mark and the assembly elections in five states set to be concluded.

According to reports, the prices of petrol and diesel might be increased netween Rs 2 to Rs 4 a litre. According to Indian Oil officials, the oil companies are loosing Rs 465 core every day on the sale of diesel, petrol and kerosene in the country.

The petrol prices in the country might be increased by state-run oil marketing companies in March following the elections in Uttar Pradesh, which is India’s most populous and a politically influential state.

The price of crude oil has been increasing in the international market due to concerns over a standoff between the western courtiers and Iran over its nuclear programme. the oil marketing companies in the country were intending to increase price in January but the government possibly due to elections in four states deferred the proposal.

Oil companies have loosing money by selling petrol in the country at a retail price that is lower than international market. The companies are losing on kerosene, diesel and LPG, which have set by the government. The rise will come amid continuing fall in the value of the rupee against the US dollar.