Crude oil, LPG and LNG supplies diversified amid continuing tensions in West Asia
India has significantly diversified its energy import network, reducing its dependence on the Strait of Hormuz for crude oil, liquefied petroleum gas (LPG) and liquefied natural gas (LNG) as geopolitical tensions in West Asia continue to disrupt traditional shipping routes.
Government data and customs figures show that India has increased purchases from suppliers outside the Gulf, including the United States, Russia, Oman, Nigeria, Trinidad and Angola, to safeguard energy security and reduce exposure to potential disruptions in the strategic waterway.
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The shift has been particularly striking in LNG imports. Qatar, which supplied nearly half of India’s LNG before the conflict, did not export LNG to India during April and May, according to customs data
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India instead maintained supplies through alternative exporters, ensuring domestic demand remained unaffected
Crude oil sourcing has also changed markedly. The share of imports arriving through the Strait of Hormuz has fallen, while Russian crude has become India’s largest source of oil. Industry data indicates Russian shipments reached record or near-record levels during June and July, helping offset reduced imports from the Gulf.
LPG imports have followed a similar pattern. Supplies from Gulf producers have declined sharply, with the United States emerging as India’s largest supplier by value. Domestic refiners have also increased production to support household fuel demand.
Despite higher freight and insurance costs, the government has maintained that there is no immediate risk to India’s energy supplies. Analysts say diversification has strengthened India’s resilience against geopolitical shocks, although global oil prices remain vulnerable to developments in the Middle East and continued disruption to key maritime routes.
