The government has allayed concerns over reports that the country has enough oil reserves to last only 25 days, clarifying that the available stock can support demand for much longer.
According to a government report cited by news agency ANI, India has more than 250 million barrels of crude oil and petroleum products in reserve. This is equal to about 4,000 crore litres.
These supplies are stored at underground strategic caverns in Mangalore, Padur and Visakhapatnam. Additional reserves are also kept in above-ground tanks, pipelines and offshore vessels within the distribution network, the report added.
Also Read | India Taps Alternative Crude Supplies As Iran Conflict Drags On
The remarks come amid heightened tensions in the Middle East since Feb. 28, triggered by the United States-Israel strikes on Iran, which have impacted the critical energy supply route through the Strait of Hormuz, which borders Iran and accounts for 20% of global oil flow.
India's Oil Imports
The report also highlighted a major shift in India's crude oil imports. It noted that oil is now sourced from about 40 countries, compared to 27 countries a decade ago. The government said this approach helps reduce risks and keeps supplies stable, describing the strategy as being “anchored in national interest."
According to the report, India's total crude oil and petroleum reserves are enough to meet the country's energy demand for around seven to eight weeks across the supply chain.
Domestic Demand
India's ethanol blending programme has also helped reduce the country's domestic dependence on crude oil imports. The 20% ethanol blending target now replaces about 44 million barrels of crude oil each year, the report added.
Also Read | India Has Oil Buffers But Prolonged Middle East Crisis Can Weaken Rupee, Widen Deficit: Finance Ministry
At the same time, India's refining capacity has expanded to about 258 million metric tonnes per year. This is higher than domestic demand, which is estimated between 210 and 230 million metric tonnes annually, the report said.
The report said this extra capacity allowed Indian refiners to supply fuel to Europe, helping bridge shortages in that market.
India-Russia Oil Trade
Amid the US-Iran war, the Strait of Hormuz has become a major flashpoint, with shipping facing severe disruption due to military tensions in the region. However, the government noted that only around 40% of India's crude imports pass through the narrow waterway.
It further noted that key ally Russia remains India's biggest crude oil supplier as of February. Despite geopolitical pressure, India has continued buying Russian oil while still complying with the G7 price cap rules, the government said.
India Reacts To US Statement
“India has never depended on permission from any country to buy Russian oil. India is still importing Russian oil even in February 2026, and Russia is still India's largest crude oil supplier,” the document noted, reacting to the recent statement by the US government over giving India “permission” to buy Russian oil for 30 days.
Reacting to the statement by the US, the Indian government said that the move “removes a friction that was never in anyone's interest to sustain."
India's LPG Supply
India is the world's second-largest importer of liquefied petroleum gas (LPG), mostly used as a cooking fuel. According to Reuters, the country consumed 33.15 million metric tonnes of cooking gas last year. LPG is a mix of propane and butane, and about two-thirds of it is imported, majority from the conflict-hit Middle East.
To prevent shortages, the government has also asked refiners to increase LPG production. Despite these measures, the impact of Middle East tensions are starting to affect Indian markets, as prices of domestic and commercial LPG cylinders have risen for the first time in a year.
Indian Oil Corporation, the top refiner and LPG seller, has raised the price of a 14.2-kg domestic cylinder in Delhi by 7% to Rs 913. Similarly, prices of 19-kg commercial cylinders for hotels and restaurants have also risen from Rs 1,768.50 to Rs 1,883.
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