How Middle East Crisis Could Affect Petrol Prices In India

As tensions escalate in the Middle East amid the ongoing US-Israel-Iran conflict, concerns are rising globally about a possible spike in crude oil prices. In India, however, petrol and diesel prices have remained largely stable for now, offering temporary relief to consumers. Despite fears that geopolitical tensions could disrupt global oil supply chains, fuel rates across the country, including in Assam, have not witnessed any immediate change.

Petrol Prices in Assam Remain Unchanged

In Assam, petrol prices have remained steady in recent days. As of March 6, 2026, petrol is being sold at around Rs 99.14 per litre in the state. On average, petrol across Assam is currently priced at Rs 98.81 per litre.

Interestingly, there has been no change in petrol prices in the state since March 4, indicating a period of stability despite fluctuations in the international crude oil market.

Today's petrol price in Guwahati is at Rs 98.19 per litre, reflecting a slight decrease compared to yesterday's rate of Rs 98.75.

Data also shows that petrol prices in Assam closed at an average of Rs 98.89 per litre on February 28, marking a slight decline of 0.08 per cent during the month. While the reduction is marginal, it reflects the relatively controlled price environment maintained by oil marketing companies.

Price Differences Across Indian Cities

Petrol prices vary across different cities in India, largely due to differences in state-level taxes and local levies. While global crude oil prices influence the base cost of fuel, state governments determine taxes that ultimately affect the retail price consumers pay.

For instance:

Delhi: Petrol – Rs 94.77 per litre

Lucknow: Slightly higher than Delhi, but still among the cheaper cities

Hyderabad and Patna: Among the cities with the highest petrol prices in the country

These variations highlight how state taxation policies play a major role in determining final fuel prices.

Why Prices Haven’t Increased Yet

Even though the Middle East conflict has pushed global crude oil prices upward, Indian consumers have not yet felt the impact at petrol pumps.

According to government sources, the Centre has adopted a calibrated pricing strategy that allows oil marketing companies to manage fluctuations in global crude prices without immediately passing the burden on to consumers.

When crude oil prices fall in the international market, companies are allowed to maintain slightly higher margins. These margins act as a financial cushion during periods of price spikes, helping them absorb part of the increase.

This strategy is designed to protect consumers from sudden shocks in fuel prices during geopolitical crises.

Experts believe that the government’s decision not to drastically reduce fuel prices during periods of lower global crude oil prices has helped create a buffer for oil marketing companies.

According to industry reports, this buffer now allows companies to absorb short-term increases in crude oil prices, preventing an immediate rise in petrol and diesel rates across the country.

What Could Happen Next?

While the current stability in petrol prices offers relief, experts warn that the situation could change if the Middle East conflict continues for a long period.

Iran plays a crucial role in the global oil supply chain, and any disruption in shipping routes or production could push crude oil prices significantly higher. If the volatility in international oil markets continues for an extended period, it may eventually affect fuel prices in India.

For now, however, petrol prices in Assam and other parts of India remain stable, shielding consumers from the immediate impact of the global crisis.

For residents of Assam, the steady petrol price near the Rs 99 mark provides some breathing space at a time when global tensions are rising. But with international crude markets closely linked to geopolitical developments, the coming weeks will be crucial in determining whether fuel prices remain stable or begin to climb.

Also Read: US Allows India to Buy Russian Oil for 30 Days amid Gulf Crisis