Updated 20 March 2026 at 17:18 IST
IOCL Announces 25% Hike for Bulk Diesel Buyers as Crude Surges Amid Middle East War
IOCL has hiked industrial diesel prices by ₹22 per litre, a 25% increase that takes the rate to ₹109.59 in Delhi. The move aims to pass on record-high global crude costs to bulk consumers like factories and transport fleets while keeping retail rates for regular consumers frozen.
State-run Indian Oil Corporation (IOCL) has increased the price of industrial diesel by over 25%, according to industry data released on Friday, as oil marketing companies (OMCs) move to offset the soaring cost of crude imports amid the escalating U.S.-Israel-Iran conflict.
The price of bulk or industrial diesel, sold directly to large-scale consumers such as factories, power plants, and mall operators, was hiked from ₹87.67 per litre to ₹109.59 per litre in the national capital. This revision of approximately ₹22 per litre reflects the extreme pressure on downstream margins as global crude benchmarks touched $119 per barrel on Thursday before stabilizing near $108 today.
Targeting Bulk Consumers
The hike is specifically targeted at bulk procurement channels, which are separate from the retail pumps used by the general public. While industrial users will face an immediate spike in operational costs, the price of regular petrol and diesel at retail outlets remains unchanged.
The 25% jump in industrial fuel will inevitably lead to higher input costs for manufacturing, mining, and logistics, potentially feeding into broader inflation in the coming months.
India, which imports nearly 88% of its crude requirements, is exceptionally vulnerable to the current disruptions in the Strait of Hormuz. With nearly 20% of global oil transit currently under threat, the landing cost for Indian refiners has surged.
Published By : Shourya Jha
Published On: 20 March 2026 at 16:59 IST