The ongoing war between Iran and Israel has shaken the global energy market. The Strait of Hormuz has been blocked, disrupting oil supplies worldwide.
This situation could also impact India, as it imports nearly 90 percent of its crude oil needs. Furthermore, the country imports approximately 60 percent of its LPG and 50 percent of its LNG.
However, India has largely insulated itself from a major energy crisis due to its pre-planned strategy and "India First" policy. While neighboring Pakistan is reportedly facing a crisis-like situation, India is in a relatively strong position due to its underground oil storage and imports from several countries.
How much oil reserves does India have?
According to Union Petroleum Minister Hardeep Singh Puri, India currently has approximately 25 days of crude oil reserves. Additionally, petrol and diesel stocks can also last for approximately 25 days.
The availability of cooking gas (LPG) can last for 25 to 30 days, while the stock of LNG used in industries is about 10 days. The government says that supplies can be maintained through additional imports and strategic reserves if needed.
India's 'secret' oil caves
India's strategic underground oil storage caverns play a crucial role in its energy security. These caverns are located at three key locations: Visakhapatnam, Mangaluru, and Padur.
These storage facilities were developed by the Indian Strategic Petroleum Reserves Limited. Their total capacity is approximately 5.33 million metric tons, or about 40 million barrels, which can meet the country's oil needs for approximately 10 days.
The unique feature of these underground storage facilities is that they are relatively safe from drone or missile attacks and are less affected by natural disasters. The government has not yet utilized these storage facilities, but they could serve as a protective shield in the event of a crisis.
New sources of oil imports
Following the Middle East crisis, India has further diversified its oil import sources. India now imports crude oil from approximately 40 countries, including those in Europe, Latin America, and West Africa.
Now, about 70 percent of India's oil imports are coming through sea routes that do not depend on the Strait of Hormuz, whereas earlier this share was around 50-55 percent. Oil imported from Russia is also playing an important role in India's energy strategy.
Increased purchases from Russia and Africa
The United States had previously criticized India for purchasing Russian oil. At that time, US President Donald Trump even imposed an additional 25 percent tariff on India. However, in March 2026, due to the Middle East crisis, the United States granted India a temporary exemption to purchase Russian oil. Subsequently, India rapidly increased its purchases of Russian crude oil, purchasing approximately 30 million barrels.
Supplies from African countries have also been increased. Approximately 3.4 million barrels of oil were imported from Angola in the first 10 days of March, while approximately 1.9 million barrels were purchased from the Republic of Congo.
LPG storage also helps
India is the world's second-largest LPG importer and consumes approximately 31.3 million tons annually. The government has used emergency powers to increase domestic LPG production by approximately 25 percent. However, this has led to a shortage of commercial cylinders used by hotels and restaurants.
India has also built underground storage facilities for LPG. Mangaluru has an 80,000-tonne reservoir at a depth of about 500 meters, while another 60,000-tonne reservoir exists in Visakhapatnam. The government is also considering plans to build more such reservoirs in the future.
Report by NewsCrab
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