India 'Great Partner' In Stabilising Oil Prices: US Ambassador On Russian Imports Amid Iran War

Amid the ongoing Middle East crisis, US Ambassador Sergio Gor noted that India has been a great partner in maintaining stable oil prices around the world.

"India has been a great partner in maintaining stable oil prices around the world. The United States recognizes ongoing purchases of Russian oil are a part of this effort. India is one of the largest consumers and refiners of oil and it is essential for the United States and India to work hand in hand for market stability for Americans and Indians," the US envoy said.

This comes after the United States approved a 30-day waiver to India for purchasing Russian oil due to the supply-chain disruptions in the Strait of Hormuz.

In a recent media briefing, Press Secretary Karoline Leavitt, confirmed that the United States had given its nod to India's temporarily purchase Russian oil.

Also Read: Asia Ports and Airports Face Credit Risk Amid Iran War Turmoil: Fitch

"I have spoken to the President about it, and the Secretary of the Treasury and the whole National Security team came to this decision because our allies like India have been good actors and previously stopped buying sanctioned Russian oil. So as we work to appease this temporary gap of oil supply around the world, because of the Iranians, we have temporarily permitted them to accept Russian oil," Leavitt noted.

The reversal in the US stance on Russian oil supplies, which were placed to ensure economic pressure on Moscow its war-linked activities in the Ukraine, is attempted stabilising global energy markets.

The LNG Crisis

Currently, several videos and reports indicate distress in terms of unperturbed LNG supply in several cities across the South Asian nation.

Hotel owners and staff staged a protest in the Gandhi Bazaar area of Bengaluru, demanding that the gas supply be restored immediately. They placed empty gas cylinders outside their establishments and held placards highlighting the crisis being faced. Protesters carried posters with slogans such as “Stop LPG shortage” and “Save the hotel industry.”

Economist and Member of Economic Advisory Council to PM, Shamika Ravi noted, "Indian households now depend on petroleum products for both cooking (LPG) & transport (petrol, diesel, fares).

"Together, LPG + Conveyance account for 7.5–10.2% of monthly budgets. This makes our households doubly exposed to any oil supply disruption - a vulnerability that did not exist at this scale in 2011, when rural LPG adoption was just 17% and conveyance 4.2%," she said.