West Asia war LIVE: Iran guards say hit U.S. military targets in Kuwait
Escalating hostilities in West Asia have heightened concerns over the safety of shipping through the Strait of Hormuz, one of the world's most strategically sensitive waterways
Reports indicated disruption and incidents affecting maritime traffic in and near the Strait, with vessels reportedly attempting alternate routes to avoid the conflict zone
The Strait's centrality to global energy trade means any sustained disruption is being closely watched by oil-importing economies, including India
Energy-security agencies and oil markets are monitoring the situation given the Strait's role as the principal transit route for Gulf crude exports
Strait of Hormuz — Geography and Chokepoint Status
The Strait of Hormuz is a narrow sea passage connecting the Persian Gulf to the Gulf of Oman and the Arabian Sea, with Iran on its northern shore and Oman's Musandam Peninsula (with a UAE segment) on its southern shore. At its narrowest, it is roughly 21–29 nautical miles (about 38–54 km) wide, with the shipping channel itself narrowed further by a Traffic Separation Scheme of two 2-nautical-mile-wide lanes (inbound and outbound) separated by a buffer zone. It is classified by the US Energy Information Administration (EIA) as the world's most important oil chokepoint.
Key Details
- Narrowest point lies between Iran's Larak Island and Oman's Musandam Peninsula/Great Quoin Island
- Around 20 million barrels per day of crude oil and petroleum products transited the Strait in 2025 — roughly 25% of global seaborne oil trade
- China and India together receive an estimated 44% of the crude oil that transits the Strait, making them the two most exposed major economies
- The only significant bypass infrastructure is Saudi Arabia's East-West (Petroline) pipeline and the UAE's Fujairah pipeline, which together can divert only a fraction of Gulf crude around the Strait
The reported incidents near the Strait during the current West Asia conflict directly threaten this single chokepoint through which a quarter of the world's seaborne oil moves, explaining the intensity of global market attention.
India's Crude Oil Import Dependency on the Gulf
India imports roughly 85–90% of its crude oil requirements, consuming approximately 5.5 million barrels per day. A large share of this — estimated at 40–50% of total imports (around 2.5–2.7 million barrels per day) — arrives via the Strait of Hormuz from Gulf producers such as Iraq, Saudi Arabia, and the UAE, making India one of the most exposed large economies to any Strait disruption.
Key Details
- India's crude import dependency ratio: approximately 85–90%
- Gulf-origin imports transiting the Strait: roughly 40–50% of total crude imports
- India has diversified crude sourcing in recent years (including higher discounted imports from Russia), which somewhat reduces — but does not eliminate — Hormuz-route dependency
- The Ministry of Petroleum and Natural Gas coordinates energy-security responses, including diversification and reserve drawdown, during Gulf-related supply disruptions
Because such a large share of India's oil imports transits this single chokepoint, disruption risk in the Strait translates quickly into price and supply-security concerns for the Indian economy.
India's Strategic Petroleum Reserve (SPR)
India maintains an emergency crude oil reserve managed by Indian Strategic Petroleum Reserves Limited (ISPRL), incorporated on 16 June 2004 as a wholly owned subsidiary of Indian Oil Corporation and a Special Purpose Vehicle under the Ministry of Petroleum and Natural Gas. The reserve is stored in underground rock caverns and is distinct from, and smaller than, the commercial stock held by oil marketing companies and refiners.
Key Details
- Total ISPRL SPR capacity: 5.33 million metric tonnes (MMT), covering about 9.5 days of India's crude consumption on its own
- Three underground cavern locations: Visakhapatnam (1.33 MMT), Mangaluru (1.5 MMT), and Padur, Karnataka (2.5 MMT)
- Combined with commercial/refiner stockpiles (roughly 64–65 days), India's total effective crude oil cover is estimated at around 74 days
- A planned Phase II expansion (Chandikhol, Odisha and Padur additional capacity) aims to add further SPR capacity, though implementation timelines have repeatedly slipped
The SPR is India's primary buffer against exactly this kind of Hormuz-linked supply shock — a short-term cushion while diplomatic and market responses to the disruption play out.
- Strait of Hormuz narrowest width: approximately 21–29 nautical miles (38–54 km)
- Oil transiting the Strait (2025): about 20 million barrels/day, roughly 25% of global seaborne oil trade
- India + China share of Strait-transiting crude: approximately 44%
- India's crude import dependency: 85–90%; Gulf/Hormuz-route share of imports: 40–50%
- India's ISPRL Strategic Petroleum Reserve: 5.33 MMT (~9.5 days) across Visakhapatnam, Mangaluru, and Padur; total effective cover with commercial stocks: ~74 days