It is beyond any doubt that the crude oil is by far the
largest traded commodity and its bi-products petrol and diesel are the mostly
consumed ones worldwide. Wars were fought over these commodities and a few
countries have lost their geographical identities too. Debates held over these
tantamount to tilt the economy of a country from better to worst and vice
versa. Bitter scenes were witnessed in the past whenever the price of these
commodities increased and the political parties never fail to take advantage of
the price change to their benefit.
However, one
fails to compare the prevailing price of these commodities with that of other
consumable fluids, which are sold at the sky-rocketing rates, but still
consumed by the public without exerting any hue and cry.
Cost comparison
A can of 330 ml Coca-Cola costs Rs. 20/- (a litre to
cost around Rs. 60/-), a bottle of 100 ml Dettol Antiseptic Lotion costs Rs. 21
(Rs. 210/-), 500 ml of Radiator Coolant costs Rs. 170/- (Rs. 340/-), 400 ml
Pantene Conditioner costs Rs. 165/- (Rs. 413/-), 100 ml Listerine Mouthwash
costs Rs. 45/- (Rs. 450/-), 100 ml of Corex Cough Syrup costs Rs. 57/- (Rs.
570/-) and 150 ml cup of coffee at any decent outlet would cost Rs. 30/- (Rs.
200/-).
Some other
liquids would even cost in terms of thousands of Rupees. For example, Kores
brand whitener costs Rs. 15/- for 15 ml making a litre to cost Rs. 1000/-, 100
ml of Old Spice after shave lotion costs Rs. 175/- (Rs. 1750/-), 25 ml of
branded almond oil costs Rs. 68/- (Rs. 2720/-) and a mere 21 ml of branded
Colour Ink Cartridge costs astonishingly Rs. 1900/- making the most expensive
one among the other liquids to cost Rs. 90476/- a litre. Surprisingly all these
above are consumed by every section of the society without any protests
whatsoever.
The pricing of the commodity
The price of gasoline never has crossed Rs. 55/- a litre any time during the past. One may be surprised to know that the wonder fuel could be made available to the end-users at less than half of its current selling rate, in case the additional taxes, which are added to are taken away from its basic cost.
As per the available statistics the basic rate works out to be at Rs. 21.93 per litre of gasoline when a barrel of crude is sold at USD 130 in the international markets. Adding taxes such as, [1] Rs. 14.35 (Excise Duty), [2] Re. 0.43 (Education-Cess), [3] Rs. 1.05 (Dealer Commission), [4] Rs. 5.50 (VAT), [6] Rs. 1.10 (Customs Duty on Crude), [7] Rs. 1.54 (Duty on Petrol) and [8] Rs. 6.00 (Transportation Charges) increases the cost of gasoline by Rs. 29.97 for every litre of petrol. The taxes and duties imposed on the gasoline are much more than its basic cost; otherwise it could be sold at less than Rs. 25/- per litre.
Petrol Politics
It is evident from the above, that the wonder fuel
generates more revenue to both the central and state governments, and to the
Oil Companies, as well. But the Oil
Companies shed crocodile tears, whenever there is an increase in the price of
petrol and diesel is done. And the governments carry on their business
undeterred as usual.
Quotes of the commoners
“The price of petrol should
be increased several folds making it ill-affordable by the commoner thereby
discouraging buying of own vehicles. The
effect will obviously reduce the pollution and the presence of CO2 level in the
atmosphere” – commented by a college student Juzer.
“Petrol is one such a commodity, which drives a nation and determines its
economy. It is not that we are
addicted to it, but we cannot live without petrol, come what may it has to be
bought at whatever may be its price” – quoted by Taher a businessman.
“Increasing the price of petrol need not necessarily trigger the
inflation of the economy. It is true that to some extent that it will kindle
the inflationary effect, but will remain dormant after a point of time” –
quoted by a research scholar – Zainab S Kalangi.
The least expensive commodity
However, on our next visit to the petrol bunk for refilling, we shall bear in mind that the fuel, which is to be filled with, is the least expensive one amongst the other liquids consumed by anyone. We shall settle with that thought and consider fortunate enough to using this wonder fuel to run our vehicles and not any other liquids.
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