India Prepares to Resume Energy Shipments Through Strait of Hormuz Amid Ongoing Iran Conflict

India Prepares to Resume Energy Shipments Through Strait of Hormuz Amid Ongoing Iran Conflict

India is preparing to resume energy shipments through the Strait of Hormuz amid the ongoing Iran conflict. With naval escorts, enhanced surveillance, marine insurance support, and diplomatic engagement, New Delhi is seeking to secure vital oil supplies while managing economic pressures caused by disrupted global energy flows.

India is preparing to send vessels through the Strait of Hormuz to load energy cargoes from suppliers in West Asia, marking the first such move since the conflict involving Iran began. According to people familiar with the matter, plans have been finalized and ships are expected to begin attempting passage through the strategically vital waterway once the government grants final approval.

The proposed shipments represent a significant development for India, which remains heavily dependent on energy imports from West Asia. Sources indicated that state-owned Shipping Corporation of India is prepared to resume operations in the Persian Gulf after receiving approval from the Indian Navy and securing business commitments from domestic oil refiners.

The Strait of Hormuz, through which approximately one-fifth of global oil supplies pass, has witnessed severe disruption since the outbreak of the Iran conflict at the end of February. The turmoil has triggered major supply-chain disturbances and sharp price shocks, particularly affecting energy-importing nations such as India, the world's third-largest importer of crude oil.

However, uncertainty remains over whether Iran or the United States, both of which are separately enforcing blockades in and around the Strait of Hormuz amid the conflict, have granted India permission to move vessels through the region. Their consent is considered critical for the success of the planned operations.

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In a notable diplomatic development, External Affairs Minister Subrahmanyam Jaishankar met Iranian Foreign Minister Abbas Araghchi in New Delhi on the sidelines of a BRICS summit last week. The discussions came as India continues efforts to safeguard its energy security during the ongoing crisis.

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People familiar with the matter said India is keen to maintain imports from its traditional West Asian oil suppliers because alternative sources involve longer shipping routes and significantly higher costs. Sustaining established supply channels is viewed as crucial for managing energy expenses and ensuring stable deliveries.

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To support these efforts, the Indian Navy has reportedly doubled the number of warships deployed in the region and expanded aerial surveillance operations to closely monitor maritime activity. Naval vessels are escorting Indian-flagged ships and vessels bound for India after they safely exit the Strait of Hormuz.

India's Ministry of Ports, Shipping and Waterways and the Indian Navy did not respond to requests seeking additional information regarding the reported plans.

Although limited quantities of non-Iranian oil have continued to pass through the Strait of Hormuz since the conflict began, the conditions governing those transits have remained inconsistent and uncertain. As a result, overall oil flows through the waterway remain only a fraction of pre-conflict levels.

In response to mounting risks, the Indian government recently launched a marine insurance initiative aimed at ensuring uninterrupted coverage for Indian vessels and cargo operating in high-risk maritime zones, including the Strait of Hormuz.

While India has increased crude oil purchases from Russia and other suppliers to offset disruptions, it continues to rely significantly on imports from West Asia. Russian oil shipments also carry the potential risk of United States sanctions, although the administration of President Donald Trump recently issued a new waiver permitting the sale of Russian crude oil and petroleum products that had already been loaded onto tankers.

The prolonged energy crisis has placed growing pressure on the Indian economy. Prime Minister Narendra Modi has urged citizens to conserve fuel and foreign exchange reserves as the country grapples with rising oil import costs and a sharp decline in the value of the rupee, which has fallen to a record low.

India's decision to prepare vessels for passage through the Strait of Hormuz underscores the strategic importance of securing reliable energy supplies during a period of heightened geopolitical tension. The move reflects New Delhi's determination to protect its energy interests while navigating one of the most significant maritime and economic challenges facing the region.

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