Go Back   Team-BHP > BHP India > The Indian Car Scene


Reply
 
Thread Tools Search this Thread
Old 4th May 2012, 10:00   #526
Distinguished - BHPian
 
sgiitk's Avatar
 
Join Date: Dec 2007
Location: Kanpur
Posts: 7,158
Thanked: 3,752 Times
Default re: Rationalising diesel prices*Update: 50p rise/month announced*

Logically, thre are no real options now. They have used up 40% of the planned annual 'subsidy' in April itself. Of course Pranab may vanish up Raisina Hill leaving the baby for someone else!
sgiitk is offline   (1) Thanks Reply With Quote
Old 4th May 2012, 10:59   #527
Senior - BHPian
 
Jignesh's Avatar
 
Join Date: Dec 2011
Location: Eindhoven, NL
Posts: 1,603
Thanked: 933 Times
Default re: Rationalising diesel prices*Update: 50p rise/month announced*

Quote:
Originally Posted by sgiitk View Post
Logically, thre are no real options now. They have used up 40% of the planned annual 'subsidy' in April itself. Of course Pranab may vanish up Raisina Hill leaving the baby for someone else!
Hello SGIITK,

Yes, even I read about that 40% planned subsidy Consumption & the scene looks scary now.

No wonder why Standard & Poor has downgraded India rating.

Yes. Diesel Price hike is unaviodable now. It is only a matter of time when the Government does it. But seeing the political scenario (Congress v/s regional parties) I feel we will not see much hike in Diesel Prices. It seems there will be a token hike (say Rs. 2 or 3) in Diesel price & a significant (say Rs. 5 or 7) hike in Petrol prices.

Thanks,
Jignesh is offline   Reply With Quote
Old 4th May 2012, 11:08   #528
Distinguished - BHPian
 
sgiitk's Avatar
 
Join Date: Dec 2007
Location: Kanpur
Posts: 7,158
Thanked: 3,752 Times
Default re: Rationalising diesel prices*Update: 50p rise/month announced*

@Jignesh; I think we are talking in economic terms. The old Socialist mindset says Just Print More Money. I agree that they will not bite the bullet and increase Diesel by only Rs.2-3. Of course they can cut the excise and customs duty!
sgiitk is offline   (1) Thanks Reply With Quote
Old 4th May 2012, 21:11   #529
BHPian
 
jack7's Avatar
 
Join Date: Jul 2007
Location: Bangalore
Posts: 100
Thanked: Once
Default re: Rationalising diesel prices*Update: 50p rise/month announced*

Quote:
Originally Posted by sgiitk View Post
Of course they can cut the excise and customs duty!
Thats most likely not going happen knowing our greedy government.
jack7 is offline   Reply With Quote
Old 4th May 2012, 21:30   #530
BHPian
 
samarjitdhar's Avatar
 
Join Date: Nov 2011
Location: Sydney/Kolkata
Posts: 964
Thanked: 476 Times
Default re: Rationalising diesel prices*Update: 50p rise/month announced*

Quote:
Originally Posted by sgiitk View Post
Logically, thre are no real options now. They have used up 40% of the planned annual 'subsidy' in April itself. Of course Pranab may vanish up Raisina Hill leaving the baby for someone else!
Speaks a lot about how badly financial planning is done in our country. Rather I think this was deliberately underestimated in the budget to artificially hide higher deficit figures. Either way this government's goose is pretty much cooked. 2012 might as well become the judgement day for this government if not for the world.

Quote:
Originally Posted by jack7 View Post
Thats most likely not going happen knowing our greedy government.
You never know with the opposition parties and allies ready waiting with their knives out even a Rs 2/3 hike will not be considered feasible. Atrocious financial and taxation policies which were always retrograde in nature have come to roost now for India.
samarjitdhar is offline   Reply With Quote
Old 5th May 2012, 10:20   #531
Senior - BHPian
 
lurker's Avatar
 
Join Date: Jun 2006
Location: Tura
Posts: 1,308
Thanked: 639 Times
Default re: Rationalising diesel prices*Update: 50p rise/month announced*

Increasing diesel prices by Rs. 5 can only mean death of the Indian manufacturing and IT economy because they are totally dependent on diesel gensets and they will cease to be profitable. If you do not increase officialy then atleast you won't get directly take the blame. This may be what the Congress party is banking on.

Internationally crude prices can't go beyond certain levels because then countries can take to alternative energy, it isn't being done actively because the Americans are using military power to prevent countries from deviating anywhere from dollar-pegged oil trade. This is open blackmail by the west and some rating mafias like Standard & Poor established by the Americans are rubbing salt into the wounds. Ofcourse the likes of Standard & Poor couldn't see the sub-prime crises or the mortgage/housing crises coming and hitting inspite of their 'laser-like' focus on nations economies. lol.
lurker is offline   (1) Thanks Reply With Quote
Old 6th May 2012, 10:11   #532
BHPian
 
samarjitdhar's Avatar
 
Join Date: Nov 2011
Location: Sydney/Kolkata
Posts: 964
Thanked: 476 Times
Default re: Rationalising diesel prices*Update: 50p rise/month announced*

Quote:
Originally Posted by lurker View Post
Ofcourse the likes of Standard & Poor couldn't see the sub-prime crises or the mortgage/housing crises coming and hitting inspite of their 'laser-like' focus on nations economies. lol.
I actually renamed S&P to Sub-standard & Poorer after they quite belligerently downgraded credit rating for the US and the next day the borrowing costs for the US fell to record lows . They can't even call correctly for the western nations.

Came across this article today Fall in rupee may hike oil import costs - The Times of India which says a Rs 7 hike in diesel is inevitable now given the condition of the Rupee now. Now with the CM from my state asking for a moratorium in interest payment for the next 3 years, IIP nos. going south steadily and 40% of the oil subsidies already used up I wonder how the government will manage to even survive. I wonder from which fairy tale the government cooks up falling inflation numbers given the actual price of consumables in the market trending always an upward trajectory. A diesel price hike now will cause anarchy for the common man. The future of India is really scary now thanks to vote bank politics of the past 50 years .
samarjitdhar is offline   Reply With Quote
Old 6th May 2012, 21:23   #533
BHPian
 
Optimus7's Avatar
 
Join Date: Mar 2012
Location: Chennai
Posts: 111
Thanked: 12 Times
Default re: Rationalising diesel prices*Update: 50p rise/month announced*

If Pranabji is going to be the next president of India, who will replace him as FM? Will there be a policy paralysis in the coming months? Who will be bold to to be an FM at this stage?
Optimus7 is offline   Reply With Quote
Old 7th May 2012, 00:23   #534
BHPian
 
quadbike's Avatar
 
Join Date: Oct 2010
Location: Trivandrum
Posts: 126
Thanked: 46 Times
Default re: Rationalising diesel prices*Update: 50p rise/month announced*

They are going to use the new UID cards to profile all citizens. Then they will sell fuel at different rates, with those financially affluent paying more and in-turn subsidizing the others. You may need to swipe your UID card before you fill up rates will vary according to the data on the card.
quadbike is offline   Reply With Quote
Old 7th May 2012, 02:15   #535
BHPian
 
dockap's Avatar
 
Join Date: Jun 2007
Location: Mangalore
Posts: 845
Thanked: 376 Times
Default

Quote:
Originally Posted by quadbike
They are going to use the new UID cards to profile all citizens. Then they will sell fuel at different rates, with those financially affluent paying more and in-turn subsidizing the others. You may need to swipe your UID card before you fill up rates will vary according to the data on the card.
People may send their driver or servant who will use their UID cards to fill up fuel at subsidized rate if this is implemented.
dockap is offline   Reply With Quote
Old 7th May 2012, 09:17   #536
BHPian
 
Join Date: Nov 2009
Location: Bangalore
Posts: 908
Thanked: 296 Times
Default re: Rationalising diesel prices*Update: 50p rise/month announced*

Or we will have touts in every petrol bunk loaning their UID cards for a price.
I thought all people were created equal. Why does the Indian govt. have to sow in so many differenced between people?
wildsdi5530 is offline   Reply With Quote
Old 7th May 2012, 10:03   #537
Distinguished - BHPian
 
sgiitk's Avatar
 
Join Date: Dec 2007
Location: Kanpur
Posts: 7,158
Thanked: 3,752 Times
Default re: Rationalising diesel prices*Update: 50p rise/month announced*

As Yashwant Sinha indicated on the TV it is the dharma' of the opposition to cry hoarse every-time any price goes up, but 'raj dharma' demands that you still give the bitter pill when necessary.

I do not think the Congress worries about the opposition but is scared stiff by its own allies. BJP is in any case self destructing (Rajasthan is the latest fiasco).

One more thing they dress up the budget and hide a lot of payments, shall we say, under the table. After all the govt also indulges in No.2 accounting.
sgiitk is offline   Reply With Quote
Old 7th May 2012, 10:36   #538
Senior - BHPian
 
motomaverick's Avatar
 
Join Date: Nov 2005
Location: Bangalore
Posts: 1,838
Thanked: 864 Times
Default re: Rationalising diesel prices*Update: 50p rise/month announced*

Well just read this today morning in Times of India, might bring in some good news for Oil companies but how this will last is anybodys guess.

Quote:
Oil dived below $97 a barrel on Monday in Asia, bringing its fall over three trading days to about 8 per cent, as a slowdown in US hiring and election results in Europe dimmed expectations of stronger economic growth.
motomaverick is offline   Reply With Quote
Old 7th May 2012, 10:49   #539
Senior - BHPian
 
Jignesh's Avatar
 
Join Date: Dec 2011
Location: Eindhoven, NL
Posts: 1,603
Thanked: 933 Times
Default re: Rationalising diesel prices*Update: 50p rise/month announced*

Quote:
Originally Posted by motomaverick View Post
Well just read this today morning in Times of India, might bring in some good news for Oil companies but how this will last is anybodys guess.
Hello Motomaverick,

Oil going below $ 100 is indeed good news. But one thing I have never understood is why Oil Marketing Companies in India are always complaining of huge losses. I wonder if these are always making heavy losses, why are their share prices increasing on Stock Exchanges.

Probably that is why we have threads here on T-BHP which explains how we, in India are cheated & looted by Oil Marketing Companies & the Pricing shown to general public is total faulty.

Anyways let us hope that this fall in International Oil Prices will compensate for falling rupee & next round of retail Fuel Price hike is delayed by cople of weeks or months.

Thanks,
Jignesh is offline   Reply With Quote
Old 7th May 2012, 10:54   #540
Senior - BHPian
 
motomaverick's Avatar
 
Join Date: Nov 2005
Location: Bangalore
Posts: 1,838
Thanked: 864 Times
Default re: Rationalising diesel prices*Update: 50p rise/month announced*

Quote:
Originally Posted by Jignesh View Post
Hello Motomaverick,

Oil going below $ 100 is indeed good news. But one thing I have never understood is why Oil Marketing Companies in India are always complaining of huge losses. I wonder if these are always making heavy losses, why are their share prices increasing on Stock Exchanges.

Probably that is why we have threads here on T-BHP which explains how we, in India are cheated & looted by Oil Marketing Companies & the Pricing shown to general public is total faulty.

Anyways let us hope that this fall in International Oil Prices will compensate for falling rupee & next round of retail Fuel Price hike is delayed by cople of weeks or months.

Thanks,
I think this was neatly explained in one thread here, I am not able to search for it right now. But I guess its the greed that makes them come up with price increases which is just stretching the common man more and more. For petrol you might see some change if the crude oil barrel price stays below 100$ for sometime but Diesel I would not see much change as its still under Govt control (which is good by the way )

More than the crude barrel price or the rupee going down, its the state level taxes that burdens the price even higher especially in Karnataka, where I dont know why but taxes are the highest. Its easy money for a state so whether they will budge on the taxes i would not be betting it.
motomaverick is offline   (1) Thanks Reply With Quote
Reply


Thread Tools Search this Thread
Search this Thread:

Advanced Search


Similar Threads
Thread Thread Starter Forum Replies Last Post
Swift Diesel, Saga continues. The DIESEL experience! Part II 72k kms Update Page 182. Now SOLD! Jaggu Long-Term Ownership Reviews 2988 21st September 2017 11:10
BMW to drop prices due to increased localisation. EDIT: New prices announced Aditya The Indian Car Scene 38 10th July 2015 21:19
Hyundai Cut prices- New detailed prices. harry10 The Indian Car Scene 5 9th December 2008 00:45
Are these good prices for Tata\Fiat vehicles? Corporate Offer Prices sahakar The Indian Car Scene 15 8th July 2008 23:03


All times are GMT +5.5. The time now is 06:23.

Copyright 2000 - 2017, Team-BHP.com
Proudly powered by E2E Networks