Petroleum Minister Ram Naik on Friday hinted at a further cut in petrol and diesel prices in view of rupee appreciation.

"Rising rupee has created a scope for further cut in retail selling price of petrol and diesel," he told reporters in New Delhi.

The next price revision is due on May 31.

With the rupee ruling at a two-year peak of Rs 46.90/91 a dollar, imports would be cheaper. This would benefit oil companies as they import 70 per cent of their crude oil requirement.

Since April, state-owned oil retailing firms have cut petrol and diesel prices by Rs 3 per litre each and the softening of dollar against rupee would result in another cut, he said.