India's Oil Stockpile: 40–45 Days of Coverage Amid West Asia Crisis
Amid escalating conflict in West Asia, official sources and energy analysts confirmed that India has approximately 100 million barrels of crude oil stocks providing 40–45 days of demand coverage
This total comprises commercial stocks held by refiners in storage tanks, strategic petroleum reserves (SPR) stored in underground caverns, and crude in transit on ships
The government has indicated that India is well-placed to weather near-term supply disruptions
The Ministry of Petroleum and Natural Gas stated that coverage is adequate for the immediate crisis period
However, analysts warn that a prolonged blockade of the Strait of Hormuz — through which approximately 50% of India's crude imports transit — would create serious pressure beyond the 40–45-day buffer
India's import dependence on crude oil stands at ~89%, making the country structurally exposed to any sustained disruption from West Asia
India's Strategic Petroleum Reserve (SPR) Programme
India established its Strategic Petroleum Reserve (SPR) programme through the Indian Strategic Petroleum Reserves Limited (ISPRL), a special purpose vehicle under the Petroleum Ministry. The SPR is stored in underground rock caverns at three locations and supplements commercial stocks held by refiners.
The 40–45 day coverage figure includes both strategic and commercial stocks. While this provides a meaningful buffer, it falls short of the IEA standard (90 days for member countries), highlighting India's energy security gap.
India's Oil Import Dependence and Supplier Diversification
India is the world's third-largest oil consumer and imports approximately 89% of its crude oil requirements. India's supplier diversification strategy has evolved significantly since 2022, when Russia emerged as the top supplier due to discounted prices following Western sanctions.
Key Details
- India imports approximately 4.84 million barrels per day (mbpd) of crude oil
- Russia: Largest supplier (~20–25% of imports since 2022-23, discounted)
- Iraq: ~20–23% of imports
- Saudi Arabia: ~16–18% of imports
- UAE, US, Kuwait: Significant but smaller shares
- West Asia (Middle East) collectively still accounts for ~50% of India's crude imports
- ~50% of India's crude imports and ~54% of LNG imports transit the Strait of Hormuz
- India spends approximately $100–120 billion/year on crude oil imports
Even with Russia diversification, nearly half of India's crude comes from West Asia and must pass through Hormuz — meaning the 40–45 day buffer is India's primary insulation against a regional crisis.
India's Energy Security Framework
India's energy security is guided by the Integrated Energy Policy (IEP) and implemented through the Ministry of Petroleum and Natural Gas, the Petroleum Planning and Analysis Cell (PPAC), and the Directorate General of Hydrocarbons (DGH). India is not a member of the International Energy Agency (IEA) but holds associate status and cooperates on emergency response coordination.
The 40–45 day cover is adequate for short-term disruptions but exposes a systemic gap in India's energy security architecture — India's reserve levels need to be expanded toward the 90-day IEA standard to truly insulate it from prolonged geopolitical shocks.
- India's crude oil stocks: ~100 million barrels (combined commercial + strategic)
- Coverage: 40–45 days of demand
- India's import dependence: ~89% of crude oil requirements
- Daily crude import: ~4.84 million barrels per day
- SPR capacity: 5.33 MMT (~36.92 million barrels) at 3 locations
- ~50% of India's crude and ~54% of LNG imports transit the Strait of Hormuz
- West Asia accounts for ~50% of India's total crude oil imports
- Prolonged Hormuz closure scenario: Oil price could exceed $100/barrel
- IEA 90-day reserve standard vs India's current ~40–45 days — a significant gap
- India became IEA Associate country in 2017