India ready to support oil markets after IEA agrees for record release

India said on Wednesday it was ready to support global oil markets in line with the International Energy Agency's release ​of a record 400 million barrels of oil to ​try to rein in prices that have soared following the US-Israeli ‌war with Iran.

"India stands ready to take appropriate measures, as necessary, to support global market stability in alignment with the efforts of the International Energy Agency," the Indian government said in a statement.

India did not give details on how it would support the IEA.

A government source had told Reuters on Monday that India had no plans to join the IEA initiative ahead of a G7 meeting to discuss the possible release of strategic oil reserves.

 

"Very pleased to read the Government of India's ‌supportive statement for IEA's collective action to release emergency oil stocks to address disruptions in global oil markets," IEA Executive Director Fatih Birol said in a post on X.

Crude prices have risen 25 per cent due to supply shocks since the US-Israeli war with Iran began.

The IEA's release is aimed at preventing a further rise in oil prices and is more than double the ​182 million barrels released in 2022 following Russia's invasion of Ukraine.

India, an associate IEA member, ‌has seen its crude oil, LPG, and liquefied natural gas (LNG) supplies have disrupted due to global shipping constraints arising from war in ​the Middle ‌East.

India imports about 40 per cent of its oil from West Asia through the ‌Strait of Hormuz. It is also the world's second-largest importer of liquefied petroleum gas (LPG).

The South Asian country on Wednesday asked consumers not to panic ‌about ​gas supplies and ​to conserve energy as India struggles to meet domestic demand.

The government has also invoked emergency powers ordering refiners to maximise LPG production ‌and cut sales ​to industry.