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Disruptions around Strait of Hormuz made shipping ‘very challenging’: Modi assures minimal impact on domestic supplies


What Happened

  • India officially described shipping disruptions around the Strait of Hormuz as "very challenging," marking one of its strongest public statements on the 2026 West Asia conflict's impact on its own interests.
  • PM Modi characterised any obstruction of the Strait of Hormuz as "wholly unacceptable," and India called attacks on commercial vessels a violation of international maritime norms.
  • India's foreign ministry engaged diplomatically with Iran to secure passage for Indian-flagged vessels, resulting in successful transits by multiple LPG tankers since mid-March 2026.
  • India underscored its position as a major dependent on Hormuz-transiting energy: over 60% of India's crude oil imports and over 90% of its LPG imports pass through this strait.
  • The Indian Navy and Coast Guard have been placed on heightened readiness, and Indian shipping companies have been advised on route risk assessments.

Static Topic Bridges

India's West Asia Policy — Non-Alignment, Strategic Autonomy, and Diaspora Protection

India's foreign policy toward West Asia (the Middle East) is guided by the principle of strategic autonomy — maintaining independent positions and active partnerships with multiple stakeholders simultaneously, without formal alliance commitments. India has historically maintained strong ties with both Iran (as a transit corridor to Central Asia via the Chabahar port project and as an oil supplier) and with Israel (defence, technology, and counterterrorism cooperation), as well as with Gulf Arab states (oil supply, Indian diaspora remittances). The 2026 conflict — involving the US, Israel, and Iran — placed India in a difficult diplomatic position: it condemned attacks on commercial shipping and called for dialogue and diplomacy, while avoiding endorsement of any belligerent's military actions.

  • India's diaspora in Gulf countries: approximately 1 crore (10 million), the world's largest overseas Indian community in a single sub-region.
  • Gulf remittances to India: approximately $40–50 billion/year, a major source of foreign exchange earnings.
  • Chabahar Port: India-operated, provides access to Afghanistan and Central Asia; strategic importance heightened as an alternative to Pakistan-controlled Gwadar.
  • India has an extradition and legal assistance treaty with Iran; bilateral trade: approximately $2–3 billion/year.
  • India evacuated 375,000+ citizens from the Gulf zone and 1,000+ from Iran during the conflict.

Connection to this news: India's "very challenging" statement and PM Modi's "unacceptable" warning reflect the tension between India's strategic autonomy doctrine and the harsh reality that Hormuz disruptions directly threaten millions of Indian livelihoods, household energy supply, and remittance flows.

The United Nations Convention on the Law of the Sea (UNCLOS, 1982) is the foundational legal framework for maritime order. For straits used for international navigation (such as the Strait of Hormuz), Part III of UNCLOS establishes "transit passage" rights — the right of all ships and aircraft to pass through in continuous and expeditious transit, which coastal states cannot suspend. Article 44 explicitly prohibits coastal states from hampering transit passage. Beyond UNCLOS, the UN Charter's prohibition on the threat or use of force against territorial integrity and political independence, and the 1988 SUA Convention (Convention for the Suppression of Unlawful Acts Against the Safety of Maritime Navigation), provide additional legal architecture against attacks on commercial shipping.

  • UNCLOS Part III (Articles 37–44): Transit passage rights through international straits — non-suspendable.
  • India ratified UNCLOS in 1995.
  • SUA Convention 1988: Criminalises attacks on ships; India is a signatory.
  • UN Security Council resolutions have condemned attacks on commercial shipping in the Red Sea (2024) and now in the Persian Gulf.
  • India has repeatedly cited UNCLOS and freedom of navigation in its maritime diplomacy, including in the Indo-Pacific context.

Connection to this news: India's condemnation of Hormuz attacks draws on UNCLOS's transit passage provisions as legal authority — positioning the demand for unobstructed shipping not as a political preference but as a right under international law.

India-Iran Relations — Energy, Sanctions, and Strategic Balance

India and Iran have historically complex ties. Iran was once India's second-largest crude oil supplier, but US sanctions (reimposed in 2018 under the CAATSA/Iran sanctions regime) forced India to dramatically reduce Iranian crude imports. India's imports from Iran fell from approximately 23 million tonnes/year in 2018–19 to near zero by 2019–20. The Chabahar Port development (in which India has invested approximately $85 million) remained ongoing under a narrow sanctions waiver. The 2026 conflict has renewed attention to India's diplomatic leverage with Iran — specifically its ability to negotiate vessel passage — derived from this historical relationship and the fact that India has generally avoided publicly endorsing Western sanctions regimes against Iran.

  • India-Iran crude trade: near zero since 2019 due to US sanctions; some resumed in 2024–25 under informal arrangements.
  • Chabahar Port: strategic for India as an alternative route to Central Asia, bypassing Pakistan; India has a 10-year operational contract.
  • CAATSA (Countering America's Adversaries Through Sanctions Act, 2017): US legislation under which secondary sanctions were imposed on Iran crude buyers.
  • India's diplomatic success: used independent relationship with Iran to secure passage of Indian-flagged tankers, demonstrating value of strategic autonomy.

Connection to this news: India's ability to secure Hormuz passage for Indian tankers — while the US and other countries' vessels faced greater disruptions — reflects the practical dividend of maintaining independent diplomatic ties with Iran despite US pressure.

Key Facts & Data

  • India's crude oil imports via Hormuz: over 60% of total crude imports transiting the strait.
  • LPG imports via Hormuz: over 90% of total LPG imports.
  • Indian diaspora in Gulf: ~1 crore persons; remittances: ~$40–50 billion/year.
  • UNCLOS transit passage provisions (Articles 37–44): non-suspendable right through international straits.
  • India ratified UNCLOS: 1995.
  • Chabahar Port investment: ~$85 million; 10-year operational contract.
  • 375,000+ Indian citizens evacuated from conflict-affected Gulf areas; 1,000+ from Iran.