India State-Run Fuel Sales Rise Amid Late Monsoons

India's state-run fuel retailers experienced a sharp increase in petrol and diesel sales during the first half of July 2026 compared to the same period last year. Petrol sales rose 22.9% to approximately 1.63-1.64 million tonnes, while diesel sales increased 20.9% to approximately 3.46-3.47 million tonnes.

Indian Oil Corporation and other state retailers attributed the surge to below-normal and late monsoon rains. These weather conditions compelled farmers to rely more heavily on diesel-powered irrigation pumps and encouraged overall motorist activity. Despite the year-on-year growth, monthly sales declined relative to June, which is typically a peak period for holiday travel.

Other fuel sectors showed mixed results. Jet fuel sales remained largely stable with a marginal 0.7% increase. In contrast, liquefied petroleum gas sales dropped 17.5% to approximately 1.14-1.15 million tonnes. This decline is a continuation of a trend triggered by supply disruptions resulting from the West Asia crisis.