CHANDIGARH: As crude oil prices soar to record highs, panic buying of diesel has started in Punjab with a 70 per cent rise in sales as compared to the same period last year. People fear that the prices of fuel will be hiked once the poll results of five states, including Punjab, are out on March 10.
Adding to the chaos is the approaching harvest season. Farmers are stocking diesel for machines used to harvest the standing wheat crop. Petroleum companies say that the sale of diesel is up from 1,09,600 KL in the February 22 -28 period last year to 1,85,900 KL this time.
‘‘Out of the total sales of diesel, around 30 per cent is bought by the farmers as they run their tractors, generators and other equipment for agriculture,’’ said an official of a petroleum company. Apart from farmers, the official said, various industries have stocked diesel.
In rural areas, it is now a common sight to see farmers standing in queues to fill diesel in their tractors. They are also bringing drums of 100 to 1,000 litres to save on fuel bills. ‘‘As the crude prices have surged in the last 10 days, it is going to have a cascading effect on the retail fuel prices in India as India imports about 80 per cent of its oil requirements,’’ said Ashwinder Singh Mongia, executive member of Petrol Pump Dealers Association. ‘‘The rates of petrol and diesel are likely to increase by `10 to 12 per litre. This has triggered panic.’’