India’s Oil Backup Plan if Iran Shuts Hormuz: Minister Reveals Strategy

Digital Desk

With rising tensions in the Gulf, fears grow over Iran potentially closing the strategic Strait of Hormuz. In response, India’s Petroleum Minister outlines a detailed Plan B to ensure uninterrupted oil supply, including alternate routes, diversified imports, and strategic reserves.

Amidst the increasing tension in West Asia, the Indian government is keeping a close eye on the supply and prices of oil and gas. According to reports, after the US attack on three nuclear bases of Iran, Iran is planning to close the Strait of Hormuz. This strait is an important route for the supply of oil and gas to one-fifth of the world.

India imports a large part of its oil needs through this route. If it is closed, there is a possibility of impact. However, the government has assured that the public will continue to get fuel and there will be no shortage of supply.

Petroleum and Natural Gas Minister Hardeep Singh Puri said that India has been monitoring the situation in the Middle East for the last two weeks. He talked about diversifying the sources of oil supply under the leadership of Prime Minister Narendra Modi.

It is difficult to speculate on prices, but the market can recover

Speaking to ANI, Hardeep Singh Puri said, "It is very difficult to speculate about prices. For a long time, the price of oil was between $ 65 and $ 70, then it remained between $ 70 and $ 75. When the markets open on Monday, the impact of the closure of the Strait of Hormuz will be seen in the prices. But as I have been saying for a long time, there is enough oil available in the global markets. Especially the supply of oil from the Western Hemisphere is increasing."

He said, "Traditional suppliers will also be interested in maintaining supply, as they also need revenue. Hopefully the market will keep this in mind. The Modi government has not only ensured stability of supply in the last several years, but has also kept the prices affordable. We will take every necessary step."

However, experts believe that oil and gas is a "very sensitive" sector, and even a small interruption can lead to a big jump in global crude oil prices. If the closure of the Strait of Hormuz lasts "more than a week", it could shock the global economy and India will not be untouched by its impact.