India Monitors Oil Trends Amid Strait of Hormuz Closure Threats

www.mangaloretoday.com

New Delhi, June 22, 2025: India is closely monitoring global oil trends following reports that Iran may close the Strait of Hormuz in response to the recent U.S. attacks on three nuclear sites. The Strait, a crucial shipping route, facilitates nearly a fifth of the world’s oil and gas supply.

Union Minister for Petroleum and Natural Gas Hardeep Singh Puri assured citizens that India’s energy security remains stable despite the unfolding geopolitical tension. “Under the leadership of Prime Minister Narendra Modi, we have diversified our energy imports significantly over the past few years. A considerable volume of our supplies no longer depends on the Strait of Hormuz,” he said in a post on X.

The minister also stated that oil marketing companies have sufficient reserves for several weeks and are receiving supplies through alternative routes. “We will take all necessary measures to ensure uninterrupted fuel availability for our citizens,” he added.

Despite these assurances, experts warn that disruptions in the sensitive oil and gas sector could lead to global crude price hikes. According to sources, a prolonged closure of the Strait exceeding a week could significantly impact the global economy, with India also facing potential repercussions.

India has increased its crude oil imports from Russia, leveraging discounts, but the advantages are subject to fluctuating market dynamics.

In light of these developments, government officials indicated that excise duty cuts on fuel might be reviewed if crude prices surpass $105 per barrel.