Will the West Asia War Disrupt India's Crude Oil Supply Chain?
- byAdmin
- | UPDATED: 9 Mar, 11:16 am IST
India Secures Oil Supply as West Asia Conflict Threatens Global Energy
As tensions continue to rise in West Asia, Indian refineries are taking precautionary measures to secure adequate crude oil supplies to meet the country’s energy needs.
Industry officials and analysts say Indian oil companies have started discussions to procure additional crude from suppliers in the United States, Russia and West Africa. The move comes amid growing uncertainty over global oil flows due to the escalating conflict in the region.
Refineries across India, which process crude oil into petrol and diesel, are also adjusting their maintenance schedules to ensure uninterrupted production. Companies are focusing on building sufficient reserves to meet domestic demand if supply disruptions continue.
India relies heavily on imports to meet its energy needs, with nearly 88 percent of its crude oil requirements sourced from overseas markets. In February alone, nearly half of the country’s oil supplies were transported through the Strait of Hormuz, a crucial global shipping route.
However, tensions in the region have increased following military actions involving the United States, Israel and Iran. Iran’s retaliatory attacks have raised concerns over the safety of vessels navigating the Strait of Hormuz, leading to disruptions in tanker movements.
Reports indicate that ship traffic through the strategic route has slowed significantly due to attacks on vessels passing through the area. Despite these challenges, officials from the oil ministry say alternative routes remain operational and India is actively sourcing oil from regions unaffected by the conflict.
The share of crude oil arriving through non-Hormuz routes has increased in recent months. In 2025, around 60 percent of India’s crude imports arrived through alternative routes, but that share has now risen to nearly 70 percent as tensions escalate in West Asia.
To diversify supplies, Indian refineries are exploring procurement from West Africa, Latin America and the United States.
Industry sources also indicate that Indian companies have resumed purchasing Russian crude oil. Last year, several refiners — including Reliance Industries, Hindustan Petroleum Corporation and HPCL-Mittal Energy — had reduced purchases after the United States imposed sanctions on Russian oil producers Rosneft and Lukoil.
However, with global supply concerns intensifying, companies have returned to the market to secure Russian cargoes. Tankers carrying Russian crude have already been loaded and are expected to arrive in India soon.
Officials from the oil ministry maintain that India has never fully stopped buying Russian oil. In February alone, the country imported approximately 1.04 million barrels of Russian crude per day, highlighting the continued importance of Russian supplies in India’s energy mix.

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