Datanomics: India's energy diversification timely, but risks remain

PM Narendra Modi highlights India's diversified energy import strategy as tensions in the Strait of Hormuz disrupt global oil and gas flows

Prime Minister Narendra Modi on Monday highlighted how shipping of energy products through the Strait of Hormuz has become highly challenging. He also talked about how the energy diversification strategy has proved its worth in the current crisis. In 11 years, India expanded energy import sources from 27 to 41 nations, reducing dependence on any single region. 

 

W Asia and Russia dominant sources of oil in recent years

 

After Russia, West Asian countries like Iraq, Saudi Arabia, and the UAE were India’s leading import sources for crude oil in recent years. Even then, the share of Russia and the US has increased in the last decade.

More than half of petroleum products from W Asia 

 

The UAE and Qatar were India’s top import sources for petroleum products. Qatar's share has fallen from over 50 per cent a decade ago to 23.43 per cent in FY26 (Apr-Jan)

Hormuz retains one-third share despite Suez shift

 

The share of Hormuz in India’s crude oil imports nearly halved in over five years, but it is still 1/3rd of the total, while that of Suez rose by around 20 percentage points