India Increases Alternative Oil Sourcing Amid Middle East Tensions
Synopsis
Key Takeaways
New Delhi, March 8 (NationPress) In response to the ongoing conflict involving Iran, India is actively seeking additional crude oil supplies from alternative global markets. This initiative aims to counteract the disruptions in energy flows across West Asia.
Indian refiners are currently in discussions for cargo acquisitions from nations such as the United States, Russia, and various West African producers. This strategy is crucial to ensure a consistent fuel supply should the geopolitical situation continue to escalate, as indicated by sources.
The urgency of this move is heightened by rising tensions in the region, which have sparked fears of interruptions in oil shipments via the Strait of Hormuz—a vital maritime passage for global energy trade. In February, approximately half of India's crude oil imports traversed this strait.
Given that India relies on imports for around 88 percent of its crude oil needs, maintaining stable supply channels is essential for the nation's energy security.
To mitigate potential disruptions, refineries have delayed planned maintenance shutdowns and are operating at normal processing levels to ensure adequate fuel production to meet immediate demand.
Sources report that “supply routes outside the Strait are fully operational, and we are increasing our procurement from non-conflict areas.” Notably, in 2025, around 60 percent of India's crude imports originated from outside the Strait of Hormuz, a figure that has now risen to nearly 70 percent following the recent escalation in the Middle East conflict.
The current supply situation has been bolstered by a temporary waiver from the US Treasury Department, permitting the sale and delivery of sanctioned Russian crude that was loaded onto vessels before March 5.
This waiver, effective until April 5, allows the delivery of cargoes already in transit without breaching sanctions.
Meanwhile, Union Petroleum and Natural Gas Minister Hardeep Singh Puri reassured that India’s energy supply remains stable despite ongoing geopolitical tensions.
In statements to the press, Puri emphasized that the country is effectively navigating the challenges of ensuring energy availability, affordability, and sustainability amid the current global landscape.
“Energy imports are flowing smoothly from all routes not involving Hormuz. We are meeting the energy needs of our citizens effectively. India is well-positioned, with no cause for concern or speculation,” he stated.