A new survey by LocalCircles reveals the impact of recent fuel price increases on consumer spending patterns. According to the survey, five in 10 consumers said the cost of transportation, products and services has increased following four successive fuel price hikes this month. The survey received over 41,000 responses from household consumers across 308 districts in India, with 62 per cent men and 38 per cent women participating. Around 42 per cent were from Tier-I districts, 31 per cent from Tier-II and 27 per cent from Tier-III, Tier-IV and Tier-V districts.
The survey found that 55 per cent of respondents said transportation costs had gone up due to the recent hikes, while 55 per cent said the prices of some products had increased. Additionally, 50 per cent reported higher costs for services. As reported by LocalCircles, fuel price increases usually push up logistics and transport expenses, which are often passed on to consumers through higher prices for food, daily-use goods and other services. This means even households that do not rely heavily on private vehicles are feeling the impact.
According to reports, since May 15, fuel retailers have raised petrol by ₹7.38 per litre and diesel by ₹7.52 per litre as surging global crude oil prices and mounting losses forced repeated revisions. Following the latest hike, the price of regular petrol in Delhi has crossed the ₹100-per-litre threshold, reaching ₹102.12 per litre, while diesel is now retailing at ₹95.20 per litre. The survey showed that around 30 per cent of respondents said the hikes had not affected their household budgets significantly so far.
To cope with rising fuel costs, 71 per cent of respondents said they would reduce non-essential travel and outings. The survey also found that 35 per cent plan to combine trips and optimise travel frequency, while 29 per cent said they may shift to lower-cost transport options such as public transport, vehicle pooling or cheaper app-based services. Additionally, 29 per cent said they would cut spending in other household areas to offset fuel expenses, and nearly one-fourth said they would look for cheaper or nearby sources for products and services.
The findings come after petrol and diesel prices increased by ₹2.61 per litre and ₹2.71 per litre, respectively, on Monday, marking the fourth fuel price revision by oil marketing companies in under two weeks. As reported by LocalCircles, 18 per cent plan to delay leisure travel or other discretionary spending to manage the impact of rising fuel expenses. The survey indicates that consumers are adapting their spending habits to accommodate the higher fuel costs across various sectors of their budgets.
