The Iran War Gas Shock – Global Energy Markets in Turmoil

Even after the fragile ceasefire, the Iran conflict has left deep scars on global energy markets. Brent crude averaged $88–92 in April, while Asian spot LNG prices spiked due to supply fears.

India, which imports nearly 89% of its crude and significant volumes of LNG, felt the heat immediately. The Indian basket crossed $88 per barrel, adding an estimated ₹1.4–1.6 lakh crore to the annual import bill. Aviation, logistics, fertilizers, and road transport sectors bore the brunt.

However, the shock also accelerated long-term strategic thinking. The government fast-tracked diversification; increasing purchases from Russia, the US, and West Africa. Strategic petroleum reserves were partially released, and green hydrogen and battery storage missions received fresh urgency.

For businesses, the message is loud: Energy price volatility is the new normal. Companies that hedged early, diversified suppliers, and invested in efficiency are protecting margins. Those waiting for prices to “normalise” are bleeding cash.