Hormuz Closure Threatens $178 Billion Trade: Gas, Medicine Prices to Rise?

• Rising West Asia tensions put India's $178 billion trade with GCC countries at risk, impacting supply chains via the Strait of Hormuz.
• Key sectors like food, agriculture, engineering, gems & jewellery, energy, and pharmaceuticals face disruptions and increased costs.
• India has 60 days of oil reserves; petrol, diesel, and LPG prices remain stable, with no immediate shortage concerns.
• Government formed an Inter-Ministerial Group (IMG) and launched a West Asia Crisis Desk to monitor and mitigate economic risks.
• Exporters receive relief with extended deadlines for export obligations and increased ECGC cover to 100%.