Fueled by Demand: India’s Petrol and Diesel Sales Accelerate in June

India's fuel consumption also continued to grow in June, reflecting ongoing economic activity and seasonal demand peaks. Overall fuel sales rose 1.9 percent from a year earlier to 20.31 million metric tons, led by petrol and diesel, provisional data from the Ministry of Petroleum and Natural Gas indicated.

Consumer Snapshot June 2025 Key Statistics:

Petrol sales increased 6.9 percent year-on-year as increased personal movement during summer vacations and increased vehicular movement propelled the sales.

Diesel sales increased 1.6 percent on a year-on-year basis, reflecting weak industry and freight movement in the initial monsoon disruption.

Combined fuel use of aviation turbine fuel and LPG was 20.31 million metric tons, 1.9 percent higher than in June 2024.

Sectoral Trends Significant Observations:

Petrol demand was driven by high passenger car usage and intercity trips over school holidays.

Diesel, accounting for nearly 40 percent of India's refined fuel use, saw growth restrained by rains-related delivery lags.

Aviation gas turbine fuel and LPG also registered gains, with LPG use increasing more than 10 percent, showing active household and business consumption.

Quarterly Context Broader Trends:

Petrol sales increased 6.9 percent, while diesel grew 2.5 percent annually in the first quarter of April–June.

Jet fuel use was up 3.9 percent, and LPG use registered double-digit expansion.

The fuel mix reflects an even rebound across transport, household, and industrial categories.

Industry Insight Market Dynamics:

Private fuel retailers like RIL-BP and Nayara Energy gained market share in diesel retail, aided by aggressive pricing.

Indian Oil's share in the bulk retail sales of diesel decreased, reflecting a shift in buying habits by large institutional customers.

Pre-monsoon arrival and shifting fuel price policies continue to influence consumption patterns month by month.

 Sources: Ministry of Petroleum and Natural Gas (petroleum.nic.in) Petroleum Planning and Analysis Cell (ppac.gov.in) The Economic Times FastBull News