Oil Prices:Price Hike in India

The price of oil around the world has more than doubled in the last 12 months. In India we have largely been unaffected by it but that is all about to change. Petrol prices could go by RS 3.50 to about RS 10 in the coming days. Petrol prices going up will further push inflation in India. This petrol price rise may be the first of many to come in the future.

The price of oil stands above the 130$ mark and analyst it may reach the 200$ mark in the future. No one in the world had seen this coming and its timing could not be worse. Most of the nations in the world are already experiencing a sharp rise in inflation and this sudden rise in oil prices has further deteriorated the situation.

In India we have already begun to feel the pinch of inflation with rise food prices and now the oil price rise is going to hit us hard. The government is trying very hard not to hike petrol & diesel prices with elections due in a year. But losses that are being inflicted upon the public sector oil companies such as Indian oil, Hindustan petroleum and Bharat petroleum have forced the government to act.

The government recently conceded that a hike in the price of petrol and diesel was imminent. The question now is by how much ? The finance minister is reluctant to reduce the taxes imposed on the oil as it would drastically increase the annual fiscal deficit. But to impose the burden on the common man would be some thing unreasonable.

So now the question is when the price rise comes, how much will it be? I believe the it will depend on how much the finance minister is willing to compromise and how much the allies are willing to risk by passing the buck on to the common man.

We in India cannot shy away from this rise in oil prices, one way or the other we are going to pay more for petrol and diesel. To blame the government for it in my opinion is stupid and unreasonable. As this is a global phenomenon and it is beyond the control of our government.

And as far as the white house is concerned, I have only one thing to say in response to the statement "Many developing nations like India or China are having greatly increased demand, which obviously is having an impact on price"

Guys grow up and stop cribbing, first the food and now this too. Does competition make you uncomfortable??

But million dollar question is by how much? So lets wait and see what the wise men of India decide.

HOW THE MIGHTY HAVE FALLEN

The end of this season saw many a big name flatter to deceive. The likes of Liverpool, AC Milan & Barcelona all have ended with disappointing seasons. Many would argue that Arsenal should be on the list but I would disagree.


Arsenal are young team, that are slowly finding their feet. I guess it is a case of you need ton learn to walk before you run and fall a little in the process. Fabregas has been a revelation this season and has shown that he is their crisis man.


Adebayor and Walcottt seem to be settling into the system well. The loss Hleb and Flamini will hurt Arsenal but trust Wenger to find able young replacements for them. I would say watch out for them next season.



Liverpool have as usual turned in a Jekyll and Hyde performance, going great guns in Europe but lack luster in the league. The squabble among the owners has not helped also. I still feel that if Benitez would not chop and change so much, they would not be so inconsistent.

In Europe Liverpool seem to be in their element. Here is food for thought where would Liverpool be without the goals from Fernanado Torres. It is time the domestic championship in England becomes more than 3 horse race.

Barcelona they have been a Greek tragedy this season. The signs were there for all to season last season itself when they gifted the league to their rivals Real Madrid.

Everything that could have gone wrong has wrong at the Camp Nou this season. An overweight and out form Ronaldinho, a Messi who was injured for most of the season, A Henry who seems to be a poor shadow of himself in comparison to his Arsenal days. The list just goes on and on.

So it was only eventual that a massive shake up was to take place at the end of the season. Deco , Ronnie, Etoo, Zambrotta and many more will be leaving the Camp Nou.


AC Milan the European Champions have also had a similar season. Finishing fifth in their league has meant that they have also had a quite miserable season. An aging defense and strikers who are bereft are goals have been at the center of their woes.

A major influx of players is expected for the next season at the San Siro . Having been knocked out of the champions league in the pre-quaterfinal stage by Arsenal did not help either.

EUROPEAN TRANSFERS : FC BARCELONA

With the curtain going down on the 2007-08 season, its time for the transfer speculation to begin. The summer European transfer season has in the past thrown up many a surprise. This Transfer window has many a big name on the move. The likes Drogba, Ronaldinho, Deco & Etoo will mostly be wearing new team colors.



Lets us start with the Catalan club FC BARCELONA, after two seasons of no silverware and mercurial form. The time has come to break the team up and rebuild the entire team. It has been made clear that the club will part ways with star Ronaldinho so as to make fresh beginning.

Coach Frank Rijkaard has also decided to leave, the club let him exit gracefully by letting finish the season. Despite poor performances during the season. Edmilson has also parted ways with club moving to Villareal. Other people rumored to be on their way out are the likes of Etoo, Deco, Zambrotta and my personal opinion is Henry will also leave.

Manchester United's Gerard Pique is mostly on his way to the Nou Camp. The youngster who was taken from the Barcelona academy is relishing the possibility of a return to his home.
Sevilla's Danny Alves is also suspected to be on his to joining the Catalans. The Brazilian has made no secret of the fact he wants to move to greener pastures, it increasingly appears he will be moving to Barcelona.

I also believe come next season Drogba will be wearing a Barcelona jersey. After the Moscow fiasco in is very clear that he will not be a Chelsea man come next season. If the deal does materialize, you heard it here first.

Halfway between the gutter and the stars
Stands the air, thin and weak,
Around my dreams floating, half-asleep,
With the silent smoke of dead cars.
They fall to the trodden ground and writhe
As reality strides on with thorny feet,
But in the dark hours of night so sweet
They see the cold stars and rise.
A breath of life, a breath of hope,
A little cheer and a little blindness,
Some laughter and a lot of kindness...
That's all my dreams need to cope