India’s oil consumption jump marginally in October indicating mild economic recovery

Mumbai: India’s oil consumption went up slightly by 1.8% in October that could be first signs that the economic activity may be gradually picking up.

While the consumption saw a mild jump production and other indicators such as exports saw a decline as per a report by India Ratings and Research.

India’s domestic consumption of petroleum products increased 1.8% year on year to 4.2 million barrels per day in October 2020, the research said. Although the country’s production and exports declined by about 17% and 35% respectively, the report added.

On a cumulative basis, production, domestic consumption and exports declined 16.4% yoy, 15.7% yoy and 11.0% yoy, respectively, during April-October 2020.

“In October 2020, India’s refining throughput declined 16.1% year on year to 4.35mb/d, while it marginally increased 0.5% in October quarter compared to June quarter. “The refining throughput was down 19.7% year on year to 4.06mb/d during April-October 2020. Domestic crude production fell to 6.2% year on year to 0.61 mb/d in October 2020, the report added.

“During the month, the production volumes of Oil and Natural Gas Corporation Limited, Oil India Limited and fields under production-sharing contracts decreased as well,” the report said.