India has guaranteed crude oil supplies sufficient to last the next 60 days, maintaining stable fuel availability despite interruptions in shipments from the Middle East, the oil ministry announced on Thursday. As the world’s third-largest oil consumer and importer, India traditionally sources over 40% of its oil from the Middle East. However, these supplies have been disrupted due to the ongoing U.S.-Israeli conflict involving Iran.
In a significant development, increased crude availability from global markets, particularly from the Western hemisphere, has helped compensate for the shortfall. Indian refiners have also capitalized on a temporary U.S. waiver to boost purchases of Russian crude, securing millions of barrels to bridge the supply gap.
The ministry highlighted that despite challenges at the Strait of Hormuz, India is currently receiving more crude oil from over 41 suppliers worldwide than it previously did through this critical maritime route. As a net exporter of petroleum products, India’s domestic petrol and diesel supplies remain fundamentally secure.
Being the world’s fourth-largest refiner, India holds oil and fuel reserves adequate to cover 60 days of demand, against a total storage capacity of 74 days. The government emphasized that nearly two months of uninterrupted supply is assured for every Indian citizen, regardless of global developments, and procurement for the coming two months has already been secured.
Meanwhile, India has instructed refiners to maximize liquefied petroleum gas (LPG) production, which is primarily used for cooking. Since the country imports 90% of its LPG from the Middle East, domestic daily LPG production has been increased by 40%, reaching 50,000 metric tons against a demand of 80,000 tons.
Additionally, Indian companies have secured 800,000 tons of LPG shipments from the United States, Russia, Australia, and other nations. These cargoes, arriving at 22 LPG import terminals across India, provide roughly one month of guaranteed supply, with further acquisitions underway to strengthen the supply chain.
