Since then, notwithstanding the persistence of weak growth momentum in advanced economies, oil prices have bounced back to high level. In April 2011 Indian basket crude price reached USD 118.6 per barrel, before softening thereafter somewhat, but still remaining range bound at high level between USD 110 to 105 per barrel.
In India, changes in international crude prices are not fully passed through to domestic prices of petroleum products, because of the administered pricing mechanism. While petrol prices have been deregulated since June 2010, prices of diesel, LPG and PDS kerosene are still regulated to insulate consumers against high global crude oil prices, which, however, inflate the subsidy bill with every increase in oil prices.