VISAKHAPATNAM:

A rapid succession of retail fuel price corrections has pushed fuel rates to a historic high in Visakhapatnam, triggering significant anxiety among motorists, daily commuters, and the local logistics sector.

The latest revision saw the retail cost of petrol settling at an elevated ₹116.38 per litre, while High-Speed Diesel (HSD) escalated to ₹104.11 per litre. The sharp upward trajectory follows a prolonged period of pricing stability observed through the first four months of the current fiscal year.

Retail fuel prices witnessed a sharp upward trajectory over the last 10 days, with petrol surging to ₹116.38 from ₹111.63 per litre. Concurrently, High-Speed Diesel (HSD) prices escalated to ₹104.11 per litre from the previous ₹99.36.

Steep Mid-May Revisions

Tracking data in the coastal city indicates that petrol and diesel prices remained remarkably stagnant between January and April, hovering comfortably around ₹108.35 and ₹96.22 per litre, respectively. This however, collapsed on May 15 when oil marketing companies (OMCs) executed a sharp, flat ₹3 per litre hike across all variants to cushion mounting under-recoveries.

The subsequent week witnessed zero relief for consumers. Tranches of revisions followed in quick succession, driven by rising landing costs of crude oil in the international market and compounding supply disruptions in West Asia. The cumulative impact of these staggered adjustments translated to a heavy hike of over ₹5.50 per litre in just a little over a week.

Impact on Freight Trajectories

Independent dealer networks and logistics providers along the Visakhapatnam industrial corridors have stated that the rapid pace of these corrections has completely disrupted their operational mathematics. Independent transport bodies in the region have warned that crossing the critical ₹100-threshold for diesel will inevitably trigger an upward revision in freight tariffs. This change is expected to manifest as secondary inflationary pressure on the prices of essential commodities and industrial cargo across the district.

Speaking to The Hindu, Andhra Pradesh Federation of Petroleum Traders (APFPT) president Raavi Gopala Krishna said, “We did not anticipate the price rise on Monday.”