New Delhi, March 2026 — Amid escalating conflict in West Asia, Iran has granted safe transit to select Indian-flagged vessels through the Strait of Hormuz, even as it maintains a near-total blockade on most commercial shipping in response to US and Israeli military strikes.
The strikes, which began in late February 2026, reportedly resulted in the death of Iran’s Supreme Leader Ayatollah Ali Khamenei and triggered Iran’s decision to heavily restrict the strategic waterway. The Strait of Hormuz, a critical chokepoint carrying about 20% of global oil supplies and significant LNG/LPG volumes, has seen up to 97% of traffic halted, with Iran possibly deploying mines or threats to enforce the restrictions.
Background of the Crisis
Following joint US-Israeli attacks on Iranian targets starting around February 28, 2026, Iran effectively closed or severely limited access through the strait. This has stranded dozens of vessels, including numerous Indian-flagged ships in the Persian Gulf, raising alarms over India’s energy security. India relies on the route for roughly 40% of its crude oil imports and a substantial portion of its LPG supplies.
As of mid-March 2026, approximately 22 Indian vessels with over 600 Indian seafarers remained stranded west of the strait. These include crude oil tankers, LPG carriers, and an LNG vessel. The disruptions have heightened concerns about potential LPG shortages in India.
Why Iran Permitted Indian Ships to Pass
Iran’s approach has been selective, blocking ships linked to the US, Israel, or their allies while allowing limited passages for vessels from friendly or neutral nations, including India and China. Iranian officials have cited longstanding bilateral ties as the key factor.
Iran’s Ambassador to India, Mohammad Fathali, explicitly stated that Iran has “allowed some ships” to pass, emphasizing that “Iran and India are friends” with “historical relations and common interests.” He added that Tehran does not want other countries to suffer due to the conflict.
India’s proactive diplomacy played a crucial role. External Affairs Minister S. Jaishankar held multiple direct conversations with his Iranian counterpart, describing the talks as yielding “some results.” He clarified, however, that there is no blanket arrangement for all Indian ships—each transit is handled on a case-by-case basis.
Two Indian-flagged LPG carriers, Shivalik and Nanda Devi (chartered by Indian Oil Corporation and carrying over 92,000 metric tonnes of LPG combined), successfully transited the strait in mid-March. Shivalik reached Mundra port in Gujarat on March 16, followed by Nanda Devi arriving at Vadinar or Kandla shortly after. These passages have provided temporary relief amid fears of domestic cooking gas shortages.
India has maintained a neutral stance in the broader conflict, expressed sympathy for Iranian losses, and extended humanitarian gestures, such as safe harbor for affected Iranian sailors. Officials note this “loyalty and sympathy” has been acknowledged by Tehran.
Reports also indicate Iran has sought the release of three Iran-linked tankers seized by India in February 2026 over sanctions issues, along with medical supplies, as part of broader discussions. Indian officials have denied any explicit quid pro quo, insisting passages result from diplomatic engagement rather than deals.
Current Status and Outlook
Shipping data shows a slight uptick in transits, with at least eight vessels—including some Indian ones—passing through recently, nearly double the previous week’s low levels. However, the strait remains highly risky, with Iran continuing to control movements and prioritizing non-adversarial traffic.
India continues diplomatic efforts for the safe passage of the remaining stranded vessels and has deployed naval assets for regional monitoring and potential escorts. All stranded Indian ships and crews have been confirmed safe so far.
The situation remains fluid as the US-Israel-Iran conflict evolves. While Iran’s selective policy reflects pragmatic diplomacy—pressuring adversaries while preserving ties with key energy partners like India—broader resolution depends on de-escalation in the region.
Indian officials, including Jaishankar, have highlighted these developments as a vindication of India’s policy of strategic neutrality and direct engagement. For the latest updates, authorities recommend monitoring statements from India’s Ministry of External Affairs and Shipping Ministry.