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On Robust Domestic Demand Petroleum Products Net Export Falls By 42%

 Petroleum ProductsIn the net export of petroleum products, because of a surge in the local demand for fuel oil, pet coke, and LPG, there has been a fall of 42%. For its refineries, India buys 80% of the crude oil and produces more petroleum products than the local demand. India still remains a net exporter whereas many other Petro products are also being imported.

As the demand is growing at a much faster pace in the three last years, the country has been continuously upgraded and increasing its refining capacity. Since 2013-14, the Local demand for the petroleum products has grown by 23%, but only by 10%, the production has increased.

In 2013-14 India’s net export of petroleum products had reached a high of 51,167,000 million tonne (mt). However, the net export fell down to 29,637,000 mt in 2016-17. The total imports increased by 115% and were at 36 mt and The total exports fell by 3.5% and reached 65 mt.

The value of exports was $28.7billion and that of imports was $10.6 billion in 2016-17. In the last three years, the net export increased because of in net export of naphtha more than 70% rise was seen in the import of LPG, 72% fall in net export of fuel oil and 18% fall. There is no change in Diesel and Petrol’s net export. In between 2013-14 to 2016-17 Pet coke import became twice due to a rise in local demand.

To the environment, Rising levels of Pet¬ coke and fuel oil have also become harmful by industry. By cement and power industry Pet Coke is increasingly used as it is cheaper than coal, but due to high pollution levels, the government might put restrictions on it. Cheaper than the crude oil Fuel oil is available and industries using can create a health hazard.

By civil society groups, the Demands of controlling the use of both harmful fuels are being raised. To cut down the use of firewood, the government is also pushing the use of clean gas, LPG in the kitchen, it will decrease the pollution level and so by 1/3rd in the last three years the LPG consumption has increased.