India kept fuel flowing despite Hormuz closure after U.S.-Israel strikes
When the Strait of Hormuz, a major oil and LPG route for India, closed for almost four months after U.S.-Israel strikes on Iran in February 2026, things looked tense.
The Indian crude basket shot up to over $120 per barrel, LPG costs jumped 46%, and shipping insurance got pricier.
But despite all this, India managed to keep fuel flowing and limited retail price increases.
India bought oil from 41 countries
India pulled off some clever strategies: ramping up local production, cutting excise duties, and buying oil from 41 countries (including new partners like Libya and Guyana).
More ethanol was blended into fuel to reduce imports, and India's LPG import capacity has more than doubled since 2014.
Even with global prices spiking, oil companies took the hit so that the impact at the pump was less severe.
Thanks to solid planning and reserves, households and businesses barely felt the disruption.