The Oil and Energy Ministers of the OPEC Member Countries meet at least twice a year to co-ordinate their oil production policies in light of the market fundamentals, ie, the likely future balance between supply and demand.

The Member Countries, represented by their respective Heads of Delegation, may or may not alter production levels during the Meetings of the OPEC Conference.

Given that OPEC Countries produce about 45 per cent of the world's crude oil and about 54 per cent of the oil traded internationally, any decisions to increase or reduce production may lower or raise the price of crude oil.

The impact of OPEC output decisions on crude oil prices should be considered separately from the issue of changes in the final prices of oil products, such as gasoline or heating oil. There are many factors that influence the prices paid by end consumers for oil products. In some countries taxes comprise over 60 per cent of the final gasoline price paid by consumers, so even a major change in the price of crude oil might have only a minor impact on consumer prices.