Latest hydrocarbon statistics revealed by Petroleum Planning and Analysis Cell (PPAC) depicted that India’s Naphtha consumption reached four-months high around 1.284 million metric tonne in July.

Country’s Naphtha consumption rose 10% higher on month on month basis while it declined by 12.4% on a year on year basis in July.

Analysts predict that in addition to improving demand from the gasoline blending sector,  rising demand from the petrochemical producers for serving industries such as medical plastics and equipment quintessentially required in the nation’s battle against COVID-19 has further helped in overcoming the persistent market dullness.

India’s recent switch to new gasoline standards in 2020 is further expected to give a boost to the country’s demand for Naphtha.

Furthermore, abrupt growth in the domestic demand has triggered significant reduction in the volumes of Naphtha exported by the local refiners.

India’s Naphtha exports remained significantly low in June and July, with volume hitting 11-month low in June as per the PPAC data.