India weighs options amid Hormuz tensions

India is considering all options, including trade diversification, to minimise supply chain disruption risks as Iran threatens to close the Strait of Hormuz, the vital sea route carrying 20% of global oil supplies, officials said on Friday.

- Rajeev Jayaswal & Rezaul H Laskar

NEW DELHI:

The threat has already driven crude oil import costs higher — India's has risen 12.5% in a single week, with prices surging to $77.72 per barrel on June 19 from $69.08 on June 12. The strait supplies about 45% of India's annual crude oil requirements, an official said, asking not to be named.

Commerce secretary Sunil Barthwal led an inter-departmental review meeting on Friday in New Delhi with shipping and air-cargo sector stakeholders to assess the Iran-Israel conflict's impact on Indian trade and address specific concerns.

"No supply disruptions have been reported so far for any merchandise transiting through the Strait of Hormuz," an official said, asking not to be named. "India's exports and imports, including incoming crude oil shipments, are on time without disruption."