India depends on the Strait of Hormuz for roughly 40-50% of its crude oil imports and 80-85% of its LPG imports, making it highly vulnerable to volatility in this region. Nearly 2.5-2.7 million barrels per day of crude pass through this bottleneck from major suppliers like Iraq, Saudi Arabia, and the UAE.

India depends on the Strait of Hormuz for roughly 40-50% of its crude oil imports and 80-85% of its LPG imports, making it highly vulnerable to volatility in this region. Nearly 2.5-2.7 million barrels per day of crude pass through this bottleneck from major suppliers like Iraq, Saudi Arabia, and the UAE. 

Key Aspects of India’s Hormuz Dependency:
High Energy Reliance:-
 India imports over 88% of its total crude oil needs, with a significant portion traversing the Strait of Hormuz.
Specific Fuel Vulnerability:-
 Beyond crude oil, about 60% of India's LNG imports and 80-85% of LPG shipments come through this route, increasing vulnerability to bottlenecks.
Economic Impact: -
A $10 increase in oil prices due to, for instance, a disruption in the strait could reduce India’s GDP by about 0.5%.
Current Mitigation:-
 India has increased its share of imports from non- Hormuz routes (like Russia) to around 70%, reducing its previous 55% dependency on this specific, restricted passage.
Strategic Outlook:-
Despite increased diversification, a severe crisis in the strait could still disrupt nearly half of India’s daily oil requirements. The country maintains roughly 10 days of strategic crude reserves and about a week's worth of fuel stocks to manage short-term crises. 
Strait of Hormuz Crisis and Its Implications for India - 
Supply Vulnerability: 
Heavy dependence on the Strait of Hormuz for crude, LPG, and LNG imports exposed global and Indian energy flows to potential disruption. 

MJF Lion ER YK Sharma 

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