What is the Indian Oil Minister's forecast for fuel prices in the coming months, and what key factors support this outlook?

Oil Minister Hardeep Singh Puri stated that fuel prices — both oil and gas — are expected to drop in the coming months, as prices 'cannot remain at their current height for "a very long time"'. This outlook is supported by India's sufficient domestic stocks (76–80 days of reserves), the expectation that suppliers from the Western Hemisphere — including the U.S. and Canada — will compensate for shortages caused by the U.S.-Israeli war with Iran, and the fact that Indian state retailers have already absorbed recent supply disruptions through four price hikes since mid-May, indicating a managed response rather than uncontrolled escalation.

How has the U.S.-Israeli war with Iran affected India's fuel pricing and import routes, and what is India's current dependency on the Strait of Hormuz?

The war has squeezed global energy supplies, prompting Indian state retailers to raise petrol prices by about 7.8% and diesel by 8.6% since mid-May — four increases aimed at offsetting supply disruptions. Before the conflict erupted in February, the Strait of Hormuz served as a critical conduit for roughly one-fifth of the world’s oil and gas supplies, and India sourced over 40% of its crude imports and about 90% of its liquefied petroleum gas (LPG) imports through it — making the region’s instability a major vulnerability for India’s energy security.

Fuel prices expected to drop in the coming months, Indian oil minister says

Jun 8, 2026

Indian Oil Minister Hardeep Singh Puri forecasts falling fuel prices despite geopolitical tensions, noting adequate reserves lasting 76-80 days while global crude prices surged 40% due to supply disruptions.

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Fuel prices expected to drop in the coming months, Indian oil minister says

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