US-Iran war: India cheers IEA move to release emergency oil stocks, wins agency's praise amid supply disruptions
The IEA praised India after the latter supported the agency’s move to release 400 million barrels of emergency oil reserves to stabilise global markets amid the US–Israel war in Iran. India said it is closely monitoring energy markets and is ready to take appropriate steps.
The International Energy Agency (IEA) on Wednesday praised India after the latter welcomed the agency's decision to release 400 million barrels of oil from emergency reserves as tensions escalate over the US and Israel's war in Iran, Reuters reported.
IEA's Executive Director Fatih Birol said he is "pleased to read India's supportive statement for IEA's action to release oil stocks to address disruptions in global oil markets."
Earlier today, India, as a member country of the IEA, welcomed the decision to release emergency oil to address concerns in global oil markets.
In a press release, the Press Information Bureau (PIB) said, "India, as an Associate Member of the International Energy Agency (IEA) and an active participant in international energy cooperation, welcomes the IEA’s decision to release emergency oil stocks amid the prevailing supply disruptions." It added that the Indian government is closely monitoring the situation in global energy markets, particularly in the Middle East.
The statement further said that New Delhi stands ready to take “appropriate measures” as necessary, to support global market stability, keeping in line with the efforts of the IEA.
US-Israel-Iran war rattles global markets
The US and Israel launched strikes on Iran 12 days ago, and there seems to be no signs of the conflict easing. As Tehran retaliated to strikes, its decision to target US bases in the Gulf region and Israel plunged the Middle East region into a wider military confrontation, with ripple effects occurring across industries and sectors.
Oil prices on Monday jumped to $120 a barrel, spooking traders and investors about the disruptions that lie ahead. Additionally, Tehran's Islamic Revolutionary Guards Corps (IRGC) has shut the Strait of Hormuz, a key waterway, accounting for one-fifth of the world's oil supply.
Amid ongoing attacks in the Middle East, several energy companies have invoked force majeure, a legal term that excuses them from fulfilling obligations in the case of an unexpected or extraordinary event.
Amid all these developments, the global energy markets are likely to witness supply disruptions. On Monday, a group of G7 countries met and agreed to take "necessary measures" to support the global energy supply. However, the meeting concluded without any agreement.
IEA to release 400 million barrels of oil
In a statement released today, Birol announced that a collective decision was made to take emergency action after a recent meeting. The meeting was intended to assess market conditions and consider the options available to address the supply disruptions.
The IEA, which has over 1.2 billion barrels of oil in emergency reserves, said that the oil market is facing challenges which are of an unprecedented scale. The agency also has an additional 600 million barrels in industry stocks, which are held under government obligations.
About the Author
Swati Gandhi is a digital journalist with over four years of experience, specialising in international and geopolitical issues. Her work focuses on foreign policy, global power shifts, and the political and economic forces shaping international relations, with a particular emphasis on how global developments affect India. She approaches journalism with a strong belief in context-driven reporting, aiming to break down complex global events into clear, accessible narratives for a wide readership.<br><br> Previously, Swati has worked at Business Standard, where she covered a range of beats including national affairs, politics, and business. This diverse newsroom experience helped her build a strong grounding in reporting, while also strengthening her ability to work across both breaking news and in-depth explanatory stories. Covering multiple beats early in her career has helped her be informed about her current work, allowing her to connect domestic developments with wider international trends.<br><br> At Live Mint, she focuses on international and geopolitical issues through a business and economic lens, examining how global political developments, foreign policy decisions, and power shifts impact markets, industries, and India’s strategic and economic interests.<br><br> She holds a Bachelor’s degree in English (Honours) from the University of Delhi and a Master’s degree in Journalism and Mass Communication from Guru Gobind Singh Indraprastha University. Her academic training has shaped her emphasis on precision, analytical rigour, and clarity in writing. Her interests include global political economy and the intersection of geopolitics with business.<br><br> Outside work, Swati focuses on exploring her passion and love for food. From fancy cafes to street spots, Swati explores food like a true foodie.