“Crude oil supplies for next 60 days have already been tied up by India’s oil companies,” the Ministry of Petroleum and Natural Gas said on 26 March 2026, as concerns grow over supply disruptions linked to the West Asia conflict.
The government said there is no shortage of petrol, diesel or LPG, and urged people not to believe rumours circulating on social media or resort to panic buying.
It added, “Nearly two months of steady supply is available for every Indian citizen regardless of what happens globally. Next 2 months of crude procurement has also been secured.”
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So why are people worried?
1. West Asia conflict
Tensions in West Asia have disrupted global energy supply chains.
Iran has virtually blocked the Strait of Hormuz, a key shipping route that handles about 20% of global oil and LNG supply.
2. India depends on this route
West Asia is a major source of India’s energy procurement.
Iran said it has allowed “friendly nations” including India to pass through the Strait of Hormuz for commercial shipping.
3. Panic buying on the ground
Reports from several regions showed long queues at petrol pumps.
Officials said these were driven by rumours, not actual shortages.
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What’s happening on the ground
Sujata Sharma, Joint Secretary in the Ministry of Petroleum and Natural Gas, said all refineries are operating at high capacity with “adequate crude inventories”, while “sufficient stocks of petrol and diesel are being maintained” and retail outlets are functioning normally nationwide.
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Why this matters
The government said supply systems are being adjusted to handle sudden spikes in demand.
It stated that oil companies have increased credit to petrol pump owners to over three days from the earlier one day limit to ensure there is no shortage of petrol and diesel at any pump due to working capital issues.
The government said the country’s energy situation remains stable and fully under control.
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