Petrol-Diesel Rate: After the peace agreement between America and Iran, the blockade on this will be lifted, due to which earlier ships had to spend around US$ 2 million to pass through.

Petrol, diesel, and LPG prices are now expected to come down.

Fuel Cost Relief: Fuel prices have been rising steadily over the past few months due to tensions in West Asia, but now they are expected to ease. Crude oil prices have fallen significantly following US President Donald Trump 's announcement of a historic peace deal with Iran and the reopening of the Strait of Hormuz without tolls.

Brent crude fell 3.9 percent to $84 a barrel late Sunday, while US crude fell 4.8 percent to around $81 a barrel, their lowest level since March.

Why is the Strait of Hormuz so important?

The Strait of Hormuz, a strategic sea route through which most of the world's oil shipments pass, has been closed since the US and Israeli attack on Iran in late February. According to an Iranian lawmaker, some commercial ships used to pay an average of around US$2 million to pass through the waterway.

Experts had warned that if the blockage in the strait continued, oil prices could reach the mid-to-high $100s, and gasoline prices in the US could reach record levels. This is why the entire world eagerly awaited an agreement between the two countries, which was finally reached. As soon as Trump announced the agreement's completion, crude oil prices fell sharply.

What benefit does India get from this?

India imports over 85% of its crude oil needs. The opening of the Strait of Hormuz will reduce India's import bill and lower transportation costs.

Impact on petrol-diesel and LPG prices

India's Petroleum and Natural Gas Minister, Hardeep Singh Puri, stated that both oil and gas prices are expected to decline in the coming months. Due to the war between Iran and the United States, petrol and diesel prices were increased by approximately 8-8.5%. Now, with crude oil reaching the $80 mark, companies may soon reduce prices by 3-5 rupees per liter. However, no official word can be made on this at this time. Similarly, the prices of cooking gas cylinders may also decrease.