NEW DELHI: India's demand for petroleum products like petrol and diesel will grow by 7.73 percent in 2022, the fastest pace in the world, the Organisation of Petroleum Exporting Countries (OPEC) report said.
India's demand for oil products is projected to rise from 4.77 million barrels per day (bpd) in 2021 to 5.14 million bpd in 2022, OPEC said in its monthly oil report. The growth in demand is the fastest in the world ahead of 1.23 percent of China, 3.39 percent of the US and 4.62 percent of Europe. For 2023, the OPEC projected a growth of 4.67 percent in India's demand to 5.38 percent.
This, however, will be lower than 4.86 percent growth in China. India is the world's third largest oil importing and consuming nation behind the US and China. The demand for petroleum products in India is supported by the healthy economic growth of 7.1 percent, continuing economic reopening amid ease of COVID-19 restrictions and easing of trade-related bottlenecks supporting both mobility and industrial sector activity.
The report said the oil demand will see a dip in the July-Sept quarter due to the arrival of the monsoon but will pick up the following quarter on the back of the festival and holiday season. "Overall, based on the most recent trends, demand for diesel and jet kerosene would likely account for a bigger part of the growth in demand in H2 as consumption of these two products had fallen sharply due to the pandemic," it said.
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