Indian Oil Corporation (IOC) and Maharashtra State Petroleum (MRPL) have suspended crude oil loadings from Iraq, citing escalating security risks in the Strait of Hormuz.
The decision by the two state-run refiners marks a tangible contraction in trade flows as geopolitical tensions in the region intensify.
The IMO halted its escort operations following a reported attack on a ship within the strait, leaving commercial traffic with reduced institutional support for safe passage.
The suspension comes as the United Nations International Maritime Organization (IMO) has paused its programme to shepherd commercial vessels through the waterway.
The IMO halted its escort operations following a reported attack on a ship within the strait, leaving commercial traffic with reduced institutional support for safe passage.
This operational pullback by major Indian buyers underscores the growing reluctance of energy traders to expose assets to the corridor.
With the US continuing strikes in the region for an 11th night, the risk premium on Middle Eastern crude is likely to remain elevated.