Rising tensions in the Middle East are disrupting global shipping and India’s energy supply. Around 37 Indian oil and LPG tankers are stranded near the Strait of Hormuz. The situation comes amid the escalating conflict between the US, Israel, and Iran. Industry groups are urging the Indian government to ensure safe passage. They want cargo, crews, and fuel deliveries to be protected.
Why Indian Ships Are Stuck Near the Strait of Hormuz
Reports indicate that about 37 Indian-flagged vessels remain stranded in waters near the Strait of Hormuz. Most of these ships are involved in transporting crude oil and liquefied petroleum gas (LPG), which are essential for India’s energy supply.
Shipping operators explain that the ships are unable to move due to what they describe as a “blocked style closure” of this key shipping route. The ongoing conflict in the region has created high security risks, making it unsafe for vessels to navigate freely.
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The Indian National Shipowners’ Association (INSA) has formally reached out to the Ministry of Ports, Shipping, and Waterways for immediate intervention. The association has highlighted the need to protect both ships and crew members operating in the conflict zone.
There is also growing concern about reports suggesting that some Chinese and Iranian ships continue to move through the Strait. This has created confusion and uncertainty for Indian shipping operators, further complicating logistics and planning.
Impact on India’s Fuel Imports and Energy Supply
The blockage is a serious concern for India’s fuel supply. Experts note that nearly 85% of India’s LPG imports pass through the Strait of Hormuz. Any prolonged disruption could result in delayed deliveries, creating shortages in the domestic market.
India also relies heavily on this route for crude oil imports, with almost 40% of its crude oil shipments traveling through these waters. In addition, over half of India’s liquefied natural gas (LNG) imports also depend on the Strait.
Shipping companies warn that energy transport has become highly unpredictable due to the current conflict. Security risks have already affected Indian tankers. Reports show that three vessels have faced attacks, and at least one narrowly escaped a missile strike.
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The crisis is not limited to India alone. Nearly 200 crude and product tankers from across the globe are reported to be stranded in Gulf waters, indicating a widespread disruption of maritime trade in the region.
The INSA also confirmed that approximately 400 Indian seafarers are currently on duty aboard Indian-flagged oil and gas tankers navigating these dangerous waters. The association has raised alarms over their safety amid the ongoing hostilities.
Rising Costs, Export Delays, and Volatile Oil Prices
The war has also triggered sharp increases in shipping costs. War-risk insurance premiums for vessels passing through the Strait of Hormuz have surged due to heightened security threats. Freight rates have also jumped, with many operators hesitant to accept new orders.
These rising costs are expected to have a direct impact on India’s energy imports, making both shipping and fuel more expensive.
The crisis is affecting India’s exports as well. Cargo ships are reportedly avoiding the Strait due to the risk of attacks, leading to delays in shipments to regions including Central Asia. Several exporters have confirmed that billions of dollars’ worth of Indian exports are currently delayed or stuck at ports.
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Global oil markets have also reacted sharply to the conflict. Brent crude prices briefly shot close to $120 per barrel, reflecting fears of disrupted energy exports from the Gulf. Prices later eased to the $92–$95 range, but market sensitivity remains high. Any further escalation in the region could continue to influence global oil prices and shipping operations.
The escalating conflict between Iran, Israel, and the United States has created a high-risk environment for shipping near the Strait of Hormuz. Indian oil and LPG tankers remain stranded, fuel imports are threatened, shipping costs have surged, and exports are facing delays. The situation continues to pose serious challenges to India’s energy supply chain and maritime operations.