India’s Fuel Story Splits: Petrol on the Rise, Diesel in the Slow Lane

In October 2025, India saw a surge in petrol consumption driven by the festive season, while diesel demand remained largely flat. Preliminary industry data show that increased personal travel and celebrations pushed petrol sales higher. In contrast, diesel—linked to commercial, industrial and agricultural activity—did not benefit from the seasonal upswing.

The rise in petrol sales reflects higher passenger trips and two-wheeler and four-wheeler usage during holidays and festivals. With people visiting family and travelling more, petrol demand gained a clear boost. Diesel usage, however, stayed subdued, signalling that freight transport, construction and agricultural operations are yet to pick up pace.

This disparity highlights the dual nature of India’s fuel demand. Petrol is being driven by personal mobility, while diesel reflects broader industrial and farming momentum. The lack of a diesel surge suggests underlying softness in those segments despite festive optimism.

Analysts view this pattern as significant for the energy sector and policymakers tracking consumption trends. A strong petrol upswing benefits retailers and downstream companies, but the diesel lag raises questions about freight, farm and industrial recovery. If diesel continues to underperform, it could reflect an uneven recovery across sectors.

Going forward, tracking diesel performance post-festive season will be crucial. If petrol usage remains strong while diesel stays weak, it could influence fuel logistics, oil-marketing strategies and import forecasts. The festive season has energised one side of consumption—but whether the other keeps pace remains to be seen.

Source –

https://energy.economictimes.indiatimes.com