India’s Crude Input Price (what we pay per barrel to import) is now at nearly the lowest in two years, in terms of $ per barrel. But the Rupee’s depreciation ensures we see a much higher rupee price for import. But even that is at a 1 year low. (September data is till the 18th, data from PPAC).
(In April 2013, even though crude was at $101, the USDINR was at Rs. 54, which means the rupee basket was cheaper than today’s combination of USDINR at 60.5 at crude at $98)
This should help the cause of inflation – a lower crude price reduces the prices of many things apart from fuels themselves. From plastics to tar, a lot of what we use comes from the petroleum refining industry.