This paper includes the economic study of demand and supply related to the petroleum consumption all over India. In economics, we study that the demand for the resources are more than their availability which means ‘resources are less and wants are unlimited’. Here, this research paper includes the factors which affect the demand and supply of oil and petroleum consumption. And how does change in prices affect the demand and supply of petroleum products. The industry related to this sector pays the huge taxes and are all connected through the OPEC. The OPEC that is Organization of Petrol Exporting Countries is the cooperation of the countries which supplies the oil in different countries. The interference of the government in the market of the petroleum plays an important role with the working of the opposition parties with it. The future of petroleum will be very disastrous and there will not be any petroleum product left for the welfare of the future.