Zee Media Bureau
New Delhi: The Indian crude oil prices have headed to the new low at $38.61 a barrel.
The average price of crude for the month of November was $42.50 a barrel.
The average monthly price would be the lowest since December 2004 when it was $36.85. following the fall in global crude prices on on supply glut and slowing major economies.
The Indian basket of crude is composed of different grades of crude in a ratio reflecting Indian refiners' crude preferences.
India imports about 80 percent of its crude requirement and a price slump means lower demand on valuable foreign exchange and greater relief for oil consumers.
The Indian basket of crude represents average of Oman and Dubai for sour grades and Brent for sweet grade in the ratio of 72:28.
The ratio has changed over the decade from 58:42 for sour and sweet grades respectively in 2005-06, mainly driven by the increasing complexities at Indian refineries capable of handling more sour grades now.
