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Government is worried about the impact of Iraq crisis on crude oil, though there were indications of moderation in prices in the last few days, Finance Minister Arun Jaitley said on Friday.
India imports nearly two-third of its oil requirements.
The Brent crude price has eased as investors grew less worried about potential supply disruptions from Iraq.
Heavy fighting between government-led forces and Sunni militants in the north of Iraq has spared refineries in the south, which process around 90% of the OPEC member's oil exports.
