Petroleum Minister Ram Naik on Wednesday hoped the high international crude oil prices, which forced increase in domestic petrol and diesel prices by Rs 2 per litre each last month, will ease as soon as the winter season demand for oil in western countries is over.

"International crude oil prices rose primarily because of increased requirement in winter in western countries and the United States buying more oil from market to build its reserves. Besides, lower than anticipated Iraqi oil production also contributed to the mis-match between demand and supply," Naik told reporters on the sidelines of an IEA conference in New Delhi.

World oil prices have surged to a new high of over $36 a barrel post Iraq war along with a huge gas refinery blast in Algeria, an icy US winter and low crude oil stockpiles.

Naik said the prices will ease with the winter season getting over.

"Domestic fuel prices move in tandem with international crude oil prices as we are 70 per cent import-dependant to meet our requirement. During the current fiscal, we have reduced petrol and diesel prices on five occasions and had to hike them on three occasions," he said.

India spent Rs 84,000 crore (Rs 840 billion) in 2002-03 on crude oil purchases.