The petrol prices in India have been decreased by Rs 2.2 per litre from today after there was intense political pressure to roll back the last hike in prices. The reduction in petrol price is the first in 33 months in the country.

The reduction in prices would follow a fall of petrol prices in the international markets. The government has already deregulated the pricing of petrol in the country but oil firms take ‘advice’ from the oil ministry before setting the prices.

The oil firms had last increased the prices of petrol by Rs 1.80 per litre. The average price of gasoline has fallen by more than $ 5 per barrel in the first fortnight of November. The petrol prices were around $ 115.85 per barrel during the first half of November compared to 121.67 per barrel average during the second fortnight of October.

The India Rupee has also averaged higher at Rs 49.20 per US dollar this month compared to the Rs 49.40 per US dollar average in October. Following government deregulation last June, the oil companies revise prices on the basis of fortnightly average international oil prices.

Indian Oil, Bharat Petroleum and Hindustan Petroleum lost Rs 4,400 crore in terms of market value after the reports suggested that the oil marketing companies are considering a reduction in price.