Higher oil import bill in FY09 despite reduced prices

The sliding crude oil prices in the past three months have resulted in reduced payouts, but the oil import bill will be higher this fiscal as compared to 2007-08.

According to the Petroleum Planning and Analysis Cell (a wing of the oil ministry), the import bill in terms of value has seen a dramatic downward trend after crude oil started sliding August onwards.

During September, 10.26 million tonnes of crude was imported against 10.87 million tonnes in August. The quantities were almost same but the payouts for September came down to $7,162 million from $9,409 million in August.

The payouts for importing crude during October further came down to $6,086 million. However, the quantity saw an upward trend at 11.36 million tonnes in that month.

"Though the crude oil prices have come down in the international market, the oil import bill will not be less than the last financial year as the average crude price so far is still hovering around $100 per barrel.

"Last year, the average price of crude oil was $79.25 per barrel. I don't think the average price can touch that level this fiscal," an oil ministry official told PTI.

In 2007-08, India had imported 121.67 million tonnes of crude oil and the oil import bill was $67,988 million whereas this year the country has shelled out $60,339 million to import 76.20 million tonnes during April to October.

During April to October last year, 70.68 million tonnes of crude oil was imported at $35,176 million.