In a pointer to an increase in fuel prices, Finance Minister Pranab Mukherjee warned of "disastrous consequences" if "corrective steps" were not taken to deal with the problem of high oil prices and seemingly endless subsidy.
But the minister assured to temper the shock of any oil price hike by saying the entire burden would not be passed on to consumers.
The government cannot entirely pass on the extra burden to the consumers. It would consider the inflationary impact of such a move before taking action, the minister said.