IOC to cut petrol prices from Friday

October 31, 2013
An attendant lifts a petrol nozzle at a petrol pump in Siliguri January 4, 2008. REUTERS/Rupak De Chowdhuri/Files

REUTERS - Indian Oil Corp Ltd (IOC) (NSI:IOC.NS - News), the country's biggest refiner, said on Thursday it would cut petrol prices by nearly 2 percent following an appreciation in the rupee and softening global gasoline prices this month.

IOC, however, will raise diesel prices by about 1.1 percent to reduce its revenue losses as refiners sell the fuel at state-set low prices. The changes will be made from Friday, it said in a statement.

India deregulated gasoline prices in June 2010.

In January, India allowed fuel retailers to raise the price of subsidised diesel in small amounts every month and asked bulk buyers to pay market rates.

India's three state-run fuel retailers - IOC, Bharat Petroleum Corp Ltd (NSI:BPCL.NS - News) and Hindustan Petroleum Corp Ltd (NSI:HINDPETRO.NS - News) - tend to move their prices together.

(Reporting by Nidhi Verma in New Delhi; Editing by Prateek Chatterjee)