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Strait of Hormuz Crisis Impacts India: 90% LPG, 70% Basmati Exports, and Rs 8,000 Cr Bedroom Economy Hit

Target:UPSC GS-IIIMPSCTeachingSSC GAPrelims HighMains High
26 Apr 2026
~2 min
Source: Indian Express
Key Data:90% LPG imports70% basmati exports40% urea production fallRs 8,000 crore condom market$950 per tonne urea price4,00,000 tonnes basmati stuck
Practice MCQs from today's news ▸
What This Article Covers

1.The Strait of Hormuz, a 50-km wide maritime chokepoint, is critical for 90% of India's LPG imports and 70% of its basmati rice exports, causing domestic shortages.

2.Supply chain disruptions have led to a 100% price hike for nitrile (condom material), a 40% fall in domestic urea production, and a 30-fold rise in induction cooktop sales.

3.The crisis underscores India's exposure to single-source dependencies and the need for supply chain diversification and strategic stockpiling.

The Big Picture
Prelims · HighMains · High

Conflict around the Strait of Hormuz has severely disrupted Indian supply chains, causing shortages and price hikes for LPG, urea, basmati rice, and consumer goods like Diet Coke. This article illustrates how a global chokepoint directly impacts domestic inflation, agricultural inputs, and household consumption, highlighting India's strategic vulnerability to energy and trade routes.

Exam Lens

Quick Exam Facts From News

India's LPG Imports via Hormuz90%
Basmati Exports to Middle East70% of total
Domestic Urea Production Fall40%
Bedroom Economy Size (Condom Market)Rs 8,000 crore
Urea Import Price Rise$510 to $950 per tonne

1-Minute Revision

  • ›India's LPG Imports via Hormuz: 90%
  • ›Basmati Exports to Middle East: 70% of total
  • ›Target this Data: 90% of India's LPG imports pass through the Strait of Hormuz.
  • ›Target this Nodal Body: The government (Ministries of Petroleum, Commerce, Agriculture) is involved in managing the crisis.
  • ›Target this Legal Point: While not a law, the concept of 'Chokepoint' in international trade and energy security is crucial.

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Practice exam-style questions, track your score, and strengthen your recall.

Q1Static LinkageEasy

The article discusses supply chain disruptions due to the Strait of Hormuz. Which of the following is a major chokepoint for global oil shipments located in Southeast Asia?

Q2Statement-basedHard

Consider the following statements regarding the impact of the Strait of Hormuz crisis on India as per the article:

1. Nearly 70% of India's basmati rice exports are destined for the Middle East and have been halted.

2. The domestic production of urea has increased by 40% due to shortages of imported LNG.

3. The price of nitrile, a material for non-latex condoms, has seen a 100% increase.

Which of the statements given above is/are correct?

Q3Data-centricMedium

According to the article, what percentage of India's LPG imports pass through the Strait of Hormuz?

Q4Application/ImpactMedium

What is the primary lesson for India's economic policy highlighted by the disruptions caused by the Strait of Hormuz crisis?

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