India has full arrangement of oilImage Credit source: ai generated
Amidst the chaos around the world and huge tension in the Gulf countries, India has once again proved its brilliant diplomacy and foresight. Since the attacks on Iran on February 28, the supply of crude oil through the world’s important trade route, the Strait of Hormuz, has almost come to a standstill. Many countries of the world and our neighboring countries are struggling with the shortage of petrol and diesel. But, there is no silence at the petrol pumps of India. India, the world’s third largest oil buyer, had prepared a fool-proof strategy even before the crisis, which has saved the country from a major energy crisis. Let us understand in detail how India has turned this difficult time into its strength.
Russia became India’s biggest helper
As soon as the clouds of crisis loomed over the supply of oil from Gulf countries, India immediately changed its strategy and turned to Russia. According to data monitoring company Kpler, it is the result of India’s smart purchasing that in the month of March we imported about 1.98 million barrels (bpd) of crude oil daily from Russia. This figure is exactly double that of the last two months.
This is being considered a big diplomatic victory for India. Despite tough US sanctions, India not only kept its interests paramount, but also obtained special exemption from the US administration on Russian oil present in the sea in March. Even after Ukraine’s protests, this exemption continued. Due to this masterstroke, India has sealed the deal for 60 million barrels of additional oil for April delivery.
India’s great penetration from Africa to Latin America
Indian oil companies did not depend on just one option. In a show of foresight, contacts were made with African and Latin American countries even before the crisis deepened. The result was that oil imports from Angola tripled to 327,000 bpd in March.
Not only this, India has again established excellent coordination with old suppliers like Iran and Venezuela, which have been facing American sanctions for years. By mid-April, 276,000 bpd oil from Iran and 137,000 bpd oil from Venezuela started arriving at Indian ports. A government refinery official admitted that this advance planning from Nigeria and Angola is now proving to be a ‘lifesaver’ for us.
Relief to Indian citizens amid global inflation
The era of cheap oil in the international market may have ended and the prices of Brent crude oil may be skyrocketing, but the Indian government has not allowed this to fall directly on its people. Some market analysts have warned that due to international pressure, prices may rise to Rs 28 per liter in the coming time. But, the track record of the government and its strong stance is a great consolation to the common man.
The Petroleum Ministry has clearly said that India is the only country in the world where the prices of petrol and diesel have not increased in the last four years. Despite the turmoil in the global market, the government and oil companies have completely protected common Indians from the blow of inflation by cutting excise duty.
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