12 hrs ago
India Says Diesel Shipments Will Continue Amid Global Crunch
Diesel is an important fuel for businesses, farmers, and many other people.
Conflicts and other problems have made fuel markets more strained.
India says it has enough refining capacity to keep sending diesel to other countries and will honor its commitments.
Its minister said the country is increasing that capacity.
The United States may move ahead with a ban on diesel exports, but the article does not say that a ban has taken effect.
Economists warned that a long-lasting US ban could make prices rise in Britain and add to inflation.
G7 countries were reported to be planning to release oil and diesel to help ease the pressure.
Those reports were followed by lower European diesel and Brent crude futures.
India’s Petroleum Minister Hardeep Singh Puri said the country would honor commitments and continue diesel shipments, even if the United States proceeds with export bans.
Puri said India’s refining capacity is about 267 million tonnes per year and is expected to reach nearly 290 million within a year.
India has a target of reaching 320 million tonnes of refining capacity by 2030–32, as it builds refineries and expands and modernizes existing ones.
The article says industrial fuel prices have risen sharply amid the West Asia crisis, while a prolonged US diesel export ban could raise UK inflation to nearly 5 percent.
G7 countries were reported to be planning to release up to 100 million barrels of diesel and oil over four months to ease market strains.
- Who
- India’s Petroleum and Natural Gas Minister Hardeep Singh Puri; G7 countries were also reported to be planning a fuel release.
- What
- India said it would continue diesel shipments and honor commitments, while reported G7 plans aim to ease market strains.
- Where
- India; the article also discusses possible price and inflation effects in the United Kingdom and Europe.
- When
- Puri spoke at a recently held PAFI event; the G7 release was reported as planned over the next four months.
- Why
- Global fuel markets are under pressure amid the US-Iran war, the Russia-Ukraine conflict, and the West Asia crisis.
India’s supply confidence
Risks from global fuel disruption
Diesel exports and supply
India’s supply confidence
Puri said India would honor its commitments and continue diesel shipments, citing investment in refining capacity.
Risks from global fuel disruption
The article describes a strained global diesel market and reports that a possible US export ban could worsen supply pressures.
Price and inflation effects
India’s supply confidence
Puri said no Indian retail outlet had run dry, and India is expanding its refining capacity.
Risks from global fuel disruption
Economists warned that a prolonged US ban could push UK inflation close to 5 percent and potentially strengthen the case for Bank of England rate hikes.
Key facts
- India's current refining capacity
- About 267 million tonnes per year (MTPA)
- Expected capacity within a year
- Nearly 290 MTPA
- Capacity target
- 320 MTPA by 2030–32
- Indian retail outlets
- Puri cited 107,000 outlets and said none had run dry.
- Potential UK inflation
- Economists warned it could approach 5 percent if a US diesel export ban persists.
- Reported G7 fuel release
- Up to 100 million barrels of diesel and oil over four months.
Quotes
Hardeep Singh Puri
India’s Minister for Petroleum and Natural Gas
“In the US, diesel prices went up to $6. If you look at a neighbouring country — just compare the rates. Look at the prices in 2014, 2021, and 2026. This isn’t just about political rhetoric. We have 107,000 retail outlets across the country; not a single one ran dry.”
thehansindia.com
“Within the next year, we are poised to reach nearly 290 MTPA, with a target of 320 MTPA by 2030–32.”
thehansindia.com
Sources
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