Due to its huge dependence on oil imports channelled through the strategically critical Strait of Hormuz, India finds itself among the world’s most exposed big economies as tensions grow in the Middle East.
Centre for Peace Studies (CPS) research suggests that India’s energy security, trade balance, industrial output, and economic growth goals all be severely impacted by any regional disruption that lasts for an extended period of time. When it comes to transporting oil and gas from the Gulf to markets across the world, the Strait of Hormuz is still a major bottleneck. Fuel supplies, electricity generation, fertiliser production, and household energy use in India might all be adversely affected by any regional marine traffic disruption. According to the research, in light of increasing regional uncertainty, India has been making concerted diplomatic attempts to protect its strategic interests.
The research states that the safe passage of Indian-flagged vessels through the Strait of Hormuz was achieved via the continued engagement of External Affairs Minister S. Jaishankar and Iranian Foreign Minister Abbas Araghchi.
According to reports, after diplomatic negotiations, multiple ships, including the Shivalik Nanda, Devi, Piramal, and Pushpak, were able to pass via the vital maritime route without any problems.
This new arrangement exemplifies India’s commitment to safeguarding vital energy sources while keeping lines of communication open with all regional parties. When it comes to geopolitical strategy and regional connections, Iran is just as important to India as its energy sector.
The Chabahar Port, which connects Afghanistan and Central Asia, is a project in which India has made substantial investments.
A commercial route that aims to improve connectivity among Europe, Russia, Central Asia, and India, the International North-South Transport Corridor (INSTC) would pass through Iran, according to the research.
As a potential strategic substitute for China’s Belt and Road Initiative, the corridor is highly regarded.
Image: ET
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