Phase 3: The "Raw Material" Beneficiaries

Beyond the energy sector, a drop in crude prices acts as a massive "tax cut" for several Indian industries where oil is a primary input. Paint & Adhesives: Companies like

and use oil derivatives for nearly 50% of their raw material costs. Lower oil prices lead to immediate margin expansion. Tyre Industry: and benefit because synthetic rubber and carbon black are linked to crude prices. Aviation: For IndiGo (InterGlobe Aviation), Fuel (ATF) accounts for nearly 40% of operating expenses. Cheaper global oil directly translates to higher profitability.