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India’s Oil Demand on the Mend After Plunging by Nearly Half

  • Fuel consumption in world’s No. 3 oil importer seen rebounding
  • Lockdown terms relaxed, planting season starts at farms
Pedestrians walk along a road past storage tanks at an Indian Oil facility in Navi Mumbai.
Pedestrians walk along a road past storage tanks at an Indian Oil facility in Navi Mumbai.Photographer: Dhiraj Singh/Bloomberg
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Fuel consumption in India is showing signs of rebounding after witnessing the worst monthly sales in more than 12 years.

Demand in May will be as much as 25% higher than April as planting season begins, requiring tractors and water pumps to burn more diesel, and the easing of the world’s biggest lockdown brings more trucks back to the road, according to officials at two state-owned refineries. Demand for jet fuel should benefit as India is considering resumption of some domestic flights from May 18, or even earlier.