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How long can India handle US-Iran war as exports choke, oil prices surge
How long can India tackle US-Iran war fallout as exports choke, oil prices rise - Explained
According to data from the US Energy Information Administration (EIA), the Strait of Hormuz handled 44% of India’s crude oil and condensate imports and 37% of its total consumption of petroleum and related liquids in 2023.
The US-Iran war is not going to stop anytime soon. Iran’s Islamic Revolutionary Guards have clearly rejected America's claim that its missile programme has been destroyed. The IRGC has said that it is deploying projectiles in greater numbers, and with warheads weighing more than 1 tonne. On the other hand, US Defence Secretary Pete Hegseth has said that America is planning even more intense strikes against Iran since the start of the war on February 28.
US President Donald J. Trump said that if Iran does anything that blocks the Strait of Hormuz, then it will be attacked fiercely.
“If Iran does anything that stops the flow of Oil within the Strait of Hormuz, they will be hit by the United States of America TWENTY TIMES HARDER than they have been hit thus far. Additionally, we will take out easily destroyable targets that will make it virtually impossible for Iran to ever be built back, as a Nation, again - Death, Fire, and Fury will reign upon them - But I hope, and pray, that it does not happen! This is a gift from the United States of America to China, and all of those Nations that heavily use the Hormuz Strait. Hopefully, it is a gesture that will be greatly appreciated,” said Trump.
The export blockade from the Strait of Hormuz has disrupted the global supply chain, with even India facing an oil and LPG crisis. India's export of agricultural products to the Gulf nations has also been hit due to the war.
Notably, India’s 44% of crude oil import and condensate in 2023 and 37% of its consumption of petroleum and related fluids.
According to data from the US Energy Information Administration (EIA), the Strait of Hormuz handled 44% of India’s crude oil and condensate imports and 37% of its total consumption of petroleum and related liquids in 2023. According to the government sources cited by ANI, India’s 30% of crude oil supply depends on the Strait of Hormuz.
According to the government, India has oil reserves of around 74 days. Oil Minister Hardeep Singh Puri told the Rajya Sabha on Monday that as per International Energy Agency (IEA) benchmarks, countries are advised to hold around 90 days of oil reserves. “If you look at our stocks across strategic caverns, refineries, floating storage at ports and petroleum products, it adds up to about 74 days,” he said.
Amid the disruptions, India has also increased its oil imports from Russia and is now working to mitigate the LPG and PNG shortage issue.
Source: ZeeNews
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