Reasons for the diesel price hike 2012 | Consequences

Reasons for the diesel price hike 2012:-

1).The Oil Company are suffering from huge losses and are constantly demanding for price hike.About Rs 551 crore loss daily for Oil Marketing Companies.

2)Increase in the price of crude oil due to increasing international demand.

3)Government is already providing diesel at subsidiary rate.

4)Rating agencies would have downgraded India.

Consequences of Diesel Price hike:-

1. Price of every thing is likely to increase.
2. Vegetable and Fruits will touch sky due to Diesel price hike and upcoming festival season.
3. Transportation cost will definitely increase.
4. May imbalance your packet.
5. Price of diesel vehicle are expected to fall by around Rs 10,000 to 20,000
6. May definitely spoil the image of Government and congress