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State-run oil companies in India have stopped offering credit to petrol pump dealers, requiring same-day payment for fuel purchases. This shift is a response to unprofitable retail operations, as higher sales are now resulting in greater losses due to rising crude oil prices, with Brent futures above $100 per barrel.

Dealers, who previously provided credit to customers, are also reducing their credit terms. The withdrawal of credit is a strategic move by oil companies to avoid encouraging sales that contribute to financial losses, despite domestic pumps being well-stocked.