Biznextindia : India’s 2022 oil demand could rise by around 0.03 million barrels per day (mb/d) and total volumes to exceed pre-COVID-19 levels, the Origination of Petroleum Exporting Countries (OPEC) has forecated in its monthly oil market report for July.
The OPEC report said that India’s oil demand to rise to 5 mb/d in 2021 (Jan-Dec) from 4.51 mb/d, a growth of 10.82 percent. In 2022, the demand is estimated to rise further to 5.26 mb/d, a growth of 5.32 percent YoY.
“For 2022, India’s oil demand growth is anticipated to rise by around 0.3 mb/d, with total volumes expected to exceed pre-pandemic levels on an annualized basis. COVID-19 containment measures are projected to improve, backed by an acceleration in vaccination rollouts, natural immunization and better treatment of COVID-19. On the economic front, the country’s GDP is to increase solidly in 2022, supporting oil demand” OPEC said.
“From the product side, transportation fuels, led by gasoline, are projected to lead oil demand growth in 2022. Support will be driven by an increase in mobility through the use of private vehicles, particularly two wheelers that use gasoline as fuel. Diesel will gain strength in 2022, supported by healthy industrial, construction and agricultural activities” it added.