Price hike in oil prices: why and how

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The fuel Price in India hit the record high three figures for the first time in the history of India. On Wednesday the retail price of regular petrol hiked by 26 paise in Rajasthan’s Sri Ganganagar and reached Rs. 100.13. While the Diesel rested at Rs. 92.13 after a hike of 27 paise. The fuel prices in India vary from state to state, City to City. It is determined after implementing state and central government taxes. So why are the prices rising like never before?  After effects of the infamous Pandemic:  Due to the then on-going Pandemic, the demand of Crude Oil (pre refined petroleum) showed a significant drop in April 2020. Which then turned to a collapse in prices of crude oil.           After Pandemic, Saudi Arabia a key oil producing country voluntarily cut its supply by about one million barrels to 8.125 million barrels of crude oil to boost the prices hence to cover the loss due to Pandemic. Resulting in Price of Crude Oil hiked by about 50%. Compared to $40/Barrel

Supreme Court Suspends Farm bills

 

The Supreme Court Tuesday suspended the implementation of the three farm laws until further notice, and set up a committee comprising experts to hear the parties and understand the ground situation. When told the farmer unions were not willing to appear before the committee, the bench said those “genuinely” interested in finding a solution would do so. The farmer unions reiterated that they will not participate in any court-ordered committee process and they would not call off their protest until the newly enacted legislations are repealed. “It is clear that the court is being misguided by various forces even in its constitution of a committee. These are people who are known for their support to the 3 Acts and have actively advocated for the same,” a statement issued by All India Kisan Sangharsh Coordination Committee (AIKSCC) said.

The ruling came on a batch of petitions challenging the validity of the three farm laws that were enacted last September. A detailed order is expected later today. “This is not politics. There is a difference between politics and judiciary and you will have to cooperate,” the bench, headed by Chief Justice of India S A Bobde and comprising Justices A S Bopanna and V Ramasubramanian, was quoted as saying by news agency PTI.

The committee will comprise Bhupinder Singh Mann of the Bharatiya Kisan Union, Anil Ghanwat of Shetkari Sanghatana, Dr Pramod Kumar Joshi and agricultural economist Ashok Gulati. The SC also sought response from the Centre on whether a banned organisation had infiltrated the farmers’ protests. The direction came after P S Narasimha, who represented a petitioner supporting the farm laws, claimed members of Sikhs for Justicewere helping the protests. Saying it had information of Khalistanis in the protests, the Attorney General said he would file an affidavit with Intelligence Bureau records by Wednesday.

Further, the top court issued notice on the Delhi Police petition seeking to stop the tractor rally planned by farmers on Republic Day. The Centre and farmer unions have engaged in eight rounds of talks so far, but failed to break the impasse. Farmers, especially from Punjab and Haryana, have been camping at Delhi’s borders since November seeking repeal of the laws. The laws in contention are: Farmers (Empowerment & Protection) Agreement of Price Assurance & Farm Services Act 2020, Farmers Produce Trade & Commerce (Promotion & Facilitation) Act & Amendment to Essential Commodities Act.

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