Indian consumers are beginning to feel the direct impact of the escalating conflict in West Asia as fuel prices rise across categories, from petrol and diesel to CNG and commercial LPG cylinders.
In the first major fuel price revision in more than four years, petrol and diesel prices were increased by ₹3 per litre this week. CNG rates have also been raised, while commercial LPG cylinders, aviation turbine fuel (ATF) and bulk diesel prices have become more expensive.
The hikes come as global crude oil prices remain under pressure because of supply fears linked to the ongoing geopolitical tensions in West Asia. Here’s a breakdown of what has become costlier and how much consumers are now paying.
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Petrol and diesel prices rise after four years
State-run oil marketing companies increased petrol and diesel prices by ₹3 per litre on Friday, marking the first hike since 2022.
According to PTI, fuel retailers had held prices steady for nearly 11 weeks despite rising global crude costs. However, mounting losses eventually forced companies to partially pass on the burden to consumers.
Latest petrol and diesel prices in major cities
In Delhi, petrol now costs ₹97.77 per litre while diesel is priced at ₹90.67 per litre. In Mumbai, petrol is retailing at ₹106.68 per litre and diesel at ₹93.14. Kolkata has recorded petrol prices at ₹108.74 per litre and diesel at ₹95.13, while in Chennai, petrol costs ₹103.67 and diesel ₹95.25 per litre. Hyderabad continues to record the highest rates among major metros, with petrol at ₹110.89 per litre and diesel at ₹98.96 per litre.
One of the biggest triggers behind the increase has been the spike in international crude prices following disruptions and uncertainty caused by the West Asia conflict.
CNG prices also increased
Compressed Natural Gas (CNG), widely used by taxis, autos and commercial vehicles in major cities, has also become more expensive.
CNG prices were increased by ₹2 per kilogram in Delhi.
New Delhi CNG price
Earlier price: ₹77.09/kg
New price: ₹79.09/kg
The increase is expected to impact transport costs and could eventually affect fares for app-based cabs, auto-rickshaws and delivery services.
Commercial LPG cylinder prices jump again
Commercial LPG cylinders have witnessed another major increase this month.
On May 1, oil marketing companies raised the price of 19-kg commercial LPG cylinders by ₹993.
This marks the third major hike in recent months after:
₹144 increase in March
Nearly ₹200 increase in April
Latest commercial LPG cylinder prices
The price of a 19-kg commercial LPG cylinder now stands at ₹3,071.50 in Delhi, ₹3,024 in Mumbai, ₹3,202 in Kolkata, ₹3,237 in Chennai, ₹3,152 in Bengaluru, ₹3,091 in Ahmedabad, and ₹3,084 in Pune.
Restaurants, hotels, catering businesses and small food outlets are likely to feel the biggest impact from the commercial LPG price increase. However, the government has kept domestic 14.2-kg LPG cylinder prices unchanged for households.
Bulk diesel and jet fuel become costlier
Indian Oil Corporation also confirmed price increases for bulk diesel and aviation turbine fuel (ATF), though the company did not disclose exact revised rates.
ANI The company said the revisions were limited to select industrial and aviation segments that undergo regular monthly pricing adjustments based on global energy markets.
The increase in ATF prices could potentially affect airline operating costs if global crude prices continue to remain elevated.
Why fuel prices are rising now
The current fuel price surge is closely linked to the intensifying conflict in West Asia, a region critical to global oil supplies.
India imports a large share of its crude oil requirements, making domestic fuel prices highly sensitive to international disruptions.
The situation has become more complicated because:
Global crude prices have risen sharply
Shipping and supply chain risks have increased
Insurance and freight costs have climbed
The rupee remains under pressure against the US dollar
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India was among the last major economies to revise retail fuel prices despite rising global costs. Oil companies had absorbed losses for several weeks before implementing the latest hike.
What it means for consumers
The impact of rising fuel prices goes beyond petrol pumps.
Higher fuel costs can affect:
Transport fares
Food delivery charges
Flight ticket prices
Restaurant operating costs
Logistics and supply chains
Inflation in daily essentials
With global oil markets remaining volatile, analysts believe further price pressure cannot be ruled out if tensions in West Asia continue. For now, Indian consumers are already beginning to feel the ripple effect of a geopolitical conflict playing out thousands of kilometres away.
