Modi Urges Indians to Cut Fuel Use and Gold Purchases Amid U.S.-Iran Oil Crisis

Speaking in Vadodara, Gujarat, Modi described the three-month conflict as one of the decade’s biggest crises, placing it alongside the COVID-19 pandemic in terms of its global impact. He said crude oil prices had surged following the partial closure of a key international oil route, intensifying pressure on energy-importing nations such as India.

India imports more than 85 percent of its oil requirements, making the country highly vulnerable to disruptions in global crude supply chains. Despite mounting concerns, officials confirmed that the country has sufficient reserves and no immediate shortage threat. Authorities stated that India currently holds nearly 60 days of crude oil stocks along with robust foreign exchange reserves worth $703 billion. However, oil marketing companies are reportedly absorbing massive daily losses amid rising global prices and supply instability.

During his address, Modi proposed a series of public resolutions aimed at reducing fuel consumption and limiting non-essential spending. He encouraged citizens to adopt practices such as carpooling, work-from-home arrangements, and conducting local weddings to reduce travel and fuel use. He also appealed to people to avoid unnecessary gold purchases during the ongoing economic strain.

The Prime Minister’s remarks triggered immediate reactions across financial and commercial sectors. Indian stock markets witnessed a major decline, with the Sensex plunging 1,313 points amid fears of prolonged geopolitical instability and inflationary pressure linked to rising crude oil prices. Modi’s appeal regarding gold purchases also sparked protests from jewelers, who opposed the suggestion at a time when the industry is already facing uncertainty due to volatile economic conditions.

The developments underscore the growing economic impact of the U.S.-Iran conflict on India’s financial stability, energy security, and consumer sentiment, as the government pushes for restraint and conservation measures to navigate one of the most severe global crises in recent years.