OPEC+ will increase oil production faster than earlier in August, 8 major members have agreed to increase production of 548,000 barrels per day. This is more than the increase of 411,000 barrels announced for May, June and July, which was three times higher than the already initial plan.
This decision will affect markets around the world. It can affect oil prices in India. The decision is expected to decline in crude oil prices, which is a relief for a country importing oils like India.
Recently, the OPEC Plus, which includes a set of oil producing countries, has begun to increase oil production just before August. According to the Economic Times report, the decision has been taken before the planned increase in August. This move will increase the supply of oil in the global market, thereby reducing the pressure on prices. India, which imports a large part of its oil needs, will benefit greatly from this decision.
The reason for this move of OPEC Plus is to create a balance between global demand and supply. However, some experts believe that the sudden increase in production can further reduce oil prices. This can relieve the prices of petrol, diesel and other petroleum products in India. The reduction in oil prices in India will benefit the common people, as it also affects the cost of transportation and everyday items.
According to the report, OPEC Plus had previously reduced production to keep prices stable. But now, in view of demand and improvement in the market status, it has been decided to increase production. This is a golden opportunity for countries like India, which depends on crude oil for their energy needs. The reduction in oil prices can also strengthen India’s economy as the import bill decreases.
