| Syllabus: GS-II; Subject: International Relations, Topic: Global issues, Issue: Iran-Israel conflict. |
Context: Conflict between Iran and Israel could affect India’s oil trade.
Synopsis:
- India ranks as the world’s third-largest consumer of crude oil, highlighting its heavy dependence on imports to meet its energy needs.
- Fluctuations in oil prices can lead to inflationary pressures and trade imbalances, affecting various sectors and consumer spending.
- Competition with China for Oil: India competes with China for oil from various suppliers, including Iran.
- Monitoring Key Factors: It’s crucial for India to monitor key factors such as oil shipments through critical routes like the Strait of Hormuz.
- This route is essential for India’s oil supply from West Asia, making it vulnerable to disruptions.
