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Fuel price cut by oil firms was one-time move: Official
New Delhi, Oct 11 (IANS) The petrol and diesel price cuts made earlier this month by state-run oil marketing companies was a “one-time measure”, and the government has no intention of reversing the deregulation of the oil market, a Finance Ministry official said here on Thursday.
The official, who did not wish to be identified, said that while the country’s economic fundamentals remained strong, the current volatility in the capital markets and a persistent fall in the rupee value are being caused by external factors.
“It was a one-time measure of letting OMCs take the 1-rupee hit on oil prices. We have no intention of either rolling back deregulation of oil prices or asking oil companies to take such a hit,” he said.
Last week, the Centre cut petrol and diesel prices by Rs 2.50 per litre, a decision that was followed by several BJP-ruled states, giving an overall relief of Rs 5 per litre to the consumer.
The central government reduced the excise duty on petrol and diesel by Rs 1.5 per litre each and asked the OMCs to absorb an additional Re 1 per litre reduction.
Finance Minister Arun Jaitley said the Centre’s decision will result in a revenue loss of Rs 10,500 crore in six months.
Queried on whether state-run upstream explorer companies like the Oil and Natural Gas Corp (ONGC) could be asked to share the increased subsidies on kerosene and cooking gas, the finance ministry official said: “We do not have any intention of asking upstream companies to share the subsidy burden.”
“The Indian stock and rupee markets are being impacted by external factors. Expect global crude oil prices to remain range-bound, below $85 a barrel,” the official said.
“Fundamentals of our economy remain strong. The Indian economy stands to gain following the US-China trade war.”
The rupee plunged to a fresh low on Thursday, as Indian equities joined a global sell-off amid mounting concerns that growth would slow in the face of a trade war between the United States and China.
Concerns that the US Federal Reserve would continue to raise interest rates amid strengthening economy and labour market also sparked fears about capital outflows, hurting the rupee.
The S&P BSE Sensex, which had opened at 34,063.82, soon crashed over 1,000 points on a global sell-off. It settled about 760 points lower at 34,001.15.
The official also ruled out any further hikes in import duty to halt the widening of the current account deficit.
“There will be no further import compression for now. We are keeping an eye on three things — current account deficit, balance of payments and rupee. Oil price is expected to come down,” he said.
Last month, the government hiked customs duty on a range of imported products including air conditioners, household refrigerators, washing machines and radial car tyres in a bid to curb the import of non-essential items. Duties were raised on 19 items whose total value of import in 2017-18 was about Rs 86,000 crore.
–IANS
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Dr. Abhishek Verma Dedicates a Shelter in Memory of His Mother, Veena Verma, at KGMU; Inaugurated by Daughter Nicolle Verma
World-renowned business tycoon Dr. Abhishek Verma has supported Foodman Vishal Singh’s Hunger-Free World mission. In memory of his mother, Late Veena Verma, who was a 3 term Rajya Sabha MP.
Dr. Verma dedicated a state-of-the-art free permanent shelter for the attendants of patients at KGMU Medical University, Lucknow, under the aegis of Vijay Shree Foundation. His daughter, Nicolle Verma, inaugurated the shelter.
During the event, Foodman Vishal Singh honored Nicolle Verma by presenting her with a memento. Mrs. Nidhi Sharma and Avantika Yadav, associated with the organization, welcomed her with garlands. Following this, Nicolle Verma distributed essential items to the attendants and also handed out fruits. She became emotional remembering her grandmother on her birth anniversary.
On this occasion, she also inaugurated the “Veena Verma Sevalaya” in memory of her grandmother, Veena Verma, to serve the attendants. She expressed, “I feel proud that my family is engaged in nation-building as well as social service. Today, in collaboration with Vijay Shree Foundation founder Foodman Vishal Singh Ji, I feel immensely proud to dedicate this shelter for the poor, helpless, and needy attendants of patients battling serious illnesses like cancer. I am honored to be associated with the Hunger-Free World Mission for humanity.”
Inspired by the continuous humanitarian service provided by Vijay Shree Foundation over the past 17 years, Nicolle Verma donated 10 lakh rupees to support the cause. The purpose of this donation is to ensure that services continue for the needy attendants of patients suffering from severe illnesses in hospitals, as facilitated by Foodman Vishal Singh.
It is noteworthy that Dr. Abhishek Verma’s family has a legacy of public and philanthropic service. They are helping millions to carry forward the values and service work of their parents. On the occasion of his mother’s birth anniversary, Dr. Abhishek Verma dedicated this state-of-the-art permanent shelter at Lucknow Medical College to serve the attendants of patients through the Vijay Shree Foundation.
Supporting Foodman Vishal Singh’s Hunger-Free World mission, Dr. Abhishek Verma assured that he would continually support keeping this flame of humanity alive. He also promised to assist in providing medicines to the helpless patients.
Continuing her grandmother’s legacy of service, Nicolle Verma personally served food to the needy patients and attendants. She said, “It is our good fortune to have received the joy of doing this noble work today through Foodman Vishal Singh. I have taken another step forward in carrying my family’s values and cooperation by joining hands with the Vijay Shree Foundation. My father taught me to serve and help the needy, and I feel happy when I bring a smile to someone’s face.”
On the birth anniversary of the late Veena Verma, the event organizer, Vijay Shree Foundation founder Foodman Vishal Singh, said, “We feel proud and happy that Dr. Abhishek Verma, a globally renowned business tycoon, has extended his support to uplift our country from the hunger index. Today, on his mother’s birth anniversary, he inaugurated a state-of-the-art permanent shelter at Lucknow Medical College, which will always be helpful for the needy attendants of patients. It is a pleasure for me and the organization to receive the affection of Mr. Verma.”
The event was attended by General Manager Verma Family Office Hemant Garg, Sonu Rajput, and the organization’s volunteers, including Sandeep Singh, Parmeshwar Ji, Prashant Rao Gautam, Balram Singh, Ramesh Chaudhary, Suman, Jeetu, Anil, Suraj, Vinay, Manish Bhadauria, Manas Mehrotra, Vivek, Apurv, Happy, and others.