Diesel consumption, a key parameter linked to economic growth and which accounts for about 40% of overall refined fuel sales in India, fell to 2.8 million tonnes in the first half of the month.
Growth in India`s services and manufacturing industries lost some momentum last month as coronavirus fears weighed on demand and output, prompting firms to cut jobs for the eighth month in a row, two separate private surveys showed.
Gasoline sales rose by an annual 9.5% during the first half of the month to 1.05 million tonnes.
Local diesel sales by state-run refiners have been falling since March, when coronavirus-related restrictions had hit industrial activity and mobility. However, annual demand for diesel saw a temporary rise in October ahead of the festival season.
State fuel retailers — Indian Oil Corp, Hindustan Petroleum Corp and Bharat Petroleum — own about 90% of the country`s retail fuel outlets.
Sales of jet fuel declined by 47% to about 180,000 tonnes while those of liquefied petroleum gas rose by 10.4% to 1.18 million tonnes during Dec. 1-15.