New Delhi: Petrol price was on Wednesday hiked by a steep Rs3.38 per litre and diesel by Rs2.67 a litre, reversing a two-month declining trend.

Petrol will cost Rs63.47 a litre in Delhi from Wednesday midnight, up from Rs60.09 a litre, said Indian Oil Corp, the nation’s largest fuel retailer. Similarly, a litre of diesel will cost Rs52.94 a litre as against Rs50.27.

The hike in fuel price, necessitated by a 13% rise in international oil rates in the last fortnight, comes on the back of four reductions. Rates were last cut by Rs1 per litre in case of petrol and Rs2 in diesel on 16 August.

The four reductions in last two months had led to the price of petrol in Delhi coming down by Rs5.56 a litre and Rs4.92 per litre in case of diesel.

“During the current fortnight, crude oil prices in the international market have witnessed a steep increase by 13% (over $5 per barrel) compared to previous fortnight, with a corresponding increase in the international prices of petroleum products.

“The current level of international prices warrant an increase in prices of petrol and diesel, the impact of which is being passed on to the consumers," IOC said in a statement.

IOC and other state-owned fuel retailers, Hindustan Petroleum Corp Ltd (HPCL) and Bharat Petroleum Corp Ltd (BPCL) revise petrol and diesel price on 1st and 16th of every month based on international oil rate and foreign exchange ratio in the preceding fortnight.

“The movement of prices in the international oil market and Rupee-US Dollar exchange rate shall continue to be monitored closely and developing trends of the market will be reflected in future price changes," IOC added.

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