Strait of Hormuz News: Ships may resume transiting the Strait of Hormuz after 11 days, but the big question is: will LPG or crude oil arrive first for India? Find out here.

Which ships will come to India first?

Strait of Hormuz News: After nearly four months of crisis, the situation appears to be returning to normal. Following the agreement between the US and Iran, preparations have begun to reopen the Strait of Hormuz. However, simply opening the passage won't immediately restore normal shipping. Many countries around the world, including India, are now waiting to see which cargoes and ships will be the first to resume operations. In India, in particular, what will arrive first remains to be seen.

LPG or oil first?

It's a major relief for India that the government and oil companies have decided to prioritize LPG supplies. Once traffic is restored in the Strait of Hormuz, ships carrying LPG will be sent to India first.

Why only LPG?

Most of India's gas and oil are imported from Gulf countries. LPG supplies were particularly affected during the Hormuz crisis, leading to higher prices across the country. In response, Indian Oil has already arranged for ships to transport LPG and crude oil. The company has chartered a VLGC and large oil tanker. LPG cargoes are planned to be loaded between the end of June and the first week of July.

What will happen in 11 days?

According to media reports, once the Strait of Hormuz reopens, stranded ships will first be freed, then new cargo will be loaded, and then shipping will resume. Market experts predict that maritime traffic will pick up rapidly within 10-11 days, and the movement of energy cargo will return to normal. However, due to insurance clearances, safety inspections, and shipping backlogs, it may take longer for a full return to normal.

How much will India benefit?

India imports over 40% of its crude oil and approximately 90% of its LPG needs. Therefore, the opening of the Strait of Hormuz stands to benefit India the most. Regular supplies of LPG and crude oil will alleviate domestic market difficulties. Furthermore, pressure on international oil prices may ease, potentially reducing India's import bill. It's likely that the pressure on the common man's pockets will soon ease.