India’s oil demand falls amid 2nd Covid wave; refiners cut processing runs

Top oil refiners in the country have reduced processing runs and imports due to muted fuel consumption in the country. Demand for oil is likely to fall further if Covid restrictions are not removed soon.

The ongoing Covid-19 crisis in India has slowed down economic activity, resulting in a sharp drop in fuel consumption. As a result, top oil refiners in the country have reduced processing runs and imports. This has led to higher product stockpiles at plants of top oil refiners, according to news agency Reuters. The country’s biggest oil refiner, Indian Oil Corporation, has reduced runs to an average between 85 per cent and 88 per cent of total processing capacity, a company official told the news agency.