Mangalore Refinery and Petrochemicals (MRPL) declared force majeure on all gasoline export cargoes for March and April as conflict in the Middle East disrupted crude flows from the Gulf. Two traders who deal with the company said they received a notice confirming the invocation of force majeure for gasoline shipments. The state-run refiner operates a 500,000 barrel per day refinery in Karnataka and exports about 40 per cent of its refined fuel output.

Shipping through the Strait of Hormuz, which carries around one fifth of the oil consumed globally, has virtually stopped after vessels in the area were hit following attacks and retaliatory strikes, leaving energy trade flows in disarray. The disruption has prompted Indian refiners to reassess supply routes and seek alternative crude and fuel sources to maintain refinery runs. India sources about 40 per cent of its crude needs from the Middle East in addition to spot purchases and domestic oil processing.

A government source said India is scouting for alternative imports of crude oil, liquefied petroleum gas and liquefied natural gas, and that refiners and authorities are monitoring inventories closely. The source added that refiners had previously explored purchases from Venezuela after some refiners halted Russian oil imports to comply with Western sanctions. India holds sufficient crude inventories to meet demand for about 25 days and refiners maintain around a 25 day stock of gasoil, gasoline and liquefied petroleum gas.

Market participants said the force majeure notice is likely to affect regional gasoline availability and could add to near term price volatility, while shipping firms and traders reassess routing and scheduling. MRPL did not immediately respond to requests for comment but an industry source confirmed the move. Authorities and refiners continue to evaluate options to secure supplies and mitigate disruptions to fuel markets.