Petrol Price- Big news for vehicle owners. OPEC+,the organization that affects crude oil prices around the world,is once again in the headlines. According to the latest information,the organization has agreed in principle to increase oil production by 5.48 lakh barrels per day from September 2025. This decision can cause turmoil in the global oil market. This can provide relief to countries like India with cheap petrol and diesel.
The 2023 cut is now completely over
Saudi Arabia and its allies will formally approve this decision in a video conference on Sunday. This production increase will completely reverse the 2.2 million barrels per day cut made by the 8 members of OPEC+ in 2023. Also,the UAE is also gradually being allowed additional production.
OPEC+ is now adopting a policy of increasing production instead of saving oil prices. This change is also important because recently the market was shaken after the announcement of ‘Liberation Day’ tariff by former US President Donald Trump. In such a situation,increased production will not only help in controlling prices,but is also a sign of relief for petrol and diesel consumers.
What’s next?
However,analysts believe that the global oil market may be oversupplied and demand weak in the next few months,which may once again lead to a drop in prices. Brent crude was trading slightly below $70 a barrel in London on Friday,down about 6.7 per cent so far this year.
