Quickonomics: Oil's not well

India’s crude oil trade deficit has been under the pump historically because of having to meet over 85% of its annual requirement from imports.

From fiscal 2024, the pressure on oil trade deficit exacerbated because exports of refined petroleum products fell for two consecutive fiscals even as oil imports continued to rise. 

This was a break from the past when the deficit used to narrow as crude oil prices fell.

And now, with prices rising, the oil trade deficit is expected to be even higher this fiscal.