The Organization of Petroleum Exporting Countries predicted that India’s oil consumption will increase to 5.80 million barrels per day in 2025, a 4.1% increase from the 5.57 million barrels per day predicted in 2024. The cartel noted in its most recent oil market report for the month that rising economic activity will lead to higher gasoline and other petroleum product consumption, which will help meet the expanding demand.
It is anticipated that the strong economic growth in 2024 would carry over into 2025. According to OPEC’s report, manufacturing and commercial activity are anticipated to remain stable, enabling an average annual growth in oil consumption of 227,000 barrels per day, or 5.80 million barrels.
Demand for bitumen is predicted to continue to be driven by transportation and industrial fuels. According to the cartel, naphtha and LPG (liquefied Petroleum Gas) are also anticipated to sustain oil demand throughout the year.
The nation is expected to have a robust growth in oil demand of 228,000 barrels per day in 2024. OPEC anticipates that the nation’s robust economic growth would persist throughout the second quarter of 2024. The nation’s annual traditional celebrations and rising transportation activity are also expected to increase demand for fuel. It is also expected that the rebound in air travel will sustain demand for kerosene and jet fuel.
The nation’s oil demand increased by 169,000 barrels per day in March compared to the same month the previous year, although it decreased little from the 207,000 bpd spike observed in February. According to the research, LPG saw the biggest increase in oil consumption in March, rising by 77,000 bpd from growth of 47,000 bpd in February.
Additionally, gasoline saw a 59,000 bpd gain, up from a 43,000 bpd increase the previous month due to robust mobility. India’s daily average of crude imports in April was 4.9 million barrels, an 8% increase over the previous month’s decrease. Due to a decrease in LPG imports, the nation’s product imports decreased by 13%.
