Petrol, Diesel Prices Stable for Now: Centre

• Centre says petrol and diesel prices will remain stable despite global tensions
• India raises oil sourcing from non-Hormuz regions to 70% to reduce risks
• Government activates fuel supply management chain to prevent shortages
• Strict action warned against black marketing of fuel and LPG

GG News Bureau
New Delhi, 12th March: Petrol and diesel prices in India are expected to remain stable for the time being despite global uncertainty triggered by the Iran-US conflict, government sources said on Thursday.

Officials said the government has activated a fuel supply management chain programme to ensure uninterrupted availability of petroleum products in case of any supply disruptions.

Addressing concerns about the Strait of Hormuz, a critical shipping route for global oil trade, sources said India has significantly diversified its energy sourcing strategy to reduce dependence on the Middle East.

“India has increased sourcing from non-Hormuz regions from around 60 percent earlier to nearly 70 percent now. Earlier, roughly 40 percent of supplies came from the Middle East, but diversification efforts are underway,” a government source said.

The move comes amid heightened tensions in West Asia, which have raised fears of supply disruptions in the region that traditionally supplies a large share of India’s oil and gas imports.

On concerns about a possible rise in LPG prices, sources said the recent increase in gas prices is marginal and not a major spike.

“No LPG distributor in the country is running dry. Adequate stocks are available to meet public demand,” the source added.

The government also warned against black marketing of fuel and LPG, stating that strict monitoring mechanisms have been put in place to prevent any such activities.

“Domestic consumers remain the government’s top priority in fuel and LPG supply,” the source said.

The reassurance comes a day after a Thai-flagged cargo vessel bound for India was attacked near the Strait of Hormuz, shortly after leaving a port in the United Arab Emirates, raising concerns about maritime safety in the region.

India imports around 60 percent of its LPG requirement, with nearly 80-90 percent of these imports traditionally sourced from West Asian countries. Since most Gulf-origin LPG shipments pass through the Strait of Hormuz, disruptions in the region have raised concerns about supply stability.

Despite the global volatility, retail petrol and diesel prices at fuel pumps have remained unchanged so far, with oil marketing companies absorbing the impact of rising international crude prices.

Meanwhile, India has also revised the consumer price index (CPI) basket, grouping fuel, light and gas with housing, raising their combined weight to 17.7 percent from 16.9 percent, reflecting their growing importance in household spending.