Price of non-subsidised cooking gas (LPG) was on Tuesday cut by Rs 21 per cylinder and that of jet fuel (ATF) by a steep 3% on the back of falling international oil rates.
This is the third straight reduction in rates of non- subsidised LPG since July.
A non-subsidised 14.2-kg cooking gas cylinder will now cost Rs 880, down from Rs 901, in Delhi, according to Indian Oil Corp (IOC).
A subsidised LPG cylinder in Delhi costs Rs 414.
The price of aviation turbine fuel (ATF), or jet fuel, at Delhi was cut by Rs 2,077.62 per kilolitre, or 2.98%, to Rs 67,525.63 per kl, the nation's largest fuel retailer said.
This is the third reduction in jet fuel rates since July. Declining international oil prices have made imports cheaper, resulting in price reduction.
In Mumbai, jet fuel costs Rs 69,610.50 per kl as against Rs 71,829.42 per kl previously, IOC said. The rates vary because of differences in local sales tax or VAT.
Jet fuel constitutes over 40% of an airline's operating costs and the price cut will ease the financial burden of cash-strapped carriers.
No immediate comment was available from airlines on the impact of the price cut on passenger fares.
The three fuel retailers -- IOC, Hindustan Petroleum Corp and Bharat Petroleum Corp -- revise jet fuel and non-subsidised LPG prices on the first of every month, based on the average international prices in the preceding month.