India’s oil imports hit decade high

India’s crude oil imports have climbed to a record 4.86 million barrels per day in FY25, the highest in a decade.

While FY21 saw a sharp dip due to pandemic-related demand collapse, imports have steadily risen since.

This growing reliance on foreign oil leaves India vulnerable to global shocks, especially tensions in the Middle East, which supplies a large share of India’s crude.

With conflicts escalating in the region, global oil prices could spike, making energy imports more expensive.

That spells pressure on India’s trade balance, inflation, and fuel subsidies, just as domestic demand continues to rise.

And although clean energy investments are growing, they’re not yet enough to offset oil’s overall impact.