Since the conflict in West Asia began on February 28, crude oil prices have surged to over $120 per barrel, marking a four-year high and significantly affecting India's import costs. India's Chief Economic Advisor, V Anantha Nageswaran, warned of a potential inflation spike due to higher energy prices and a below-normal monsoon. He highlighted four channels through which the conflict impacts India: price and supply shock, trade disruption, sticky logistics costs, and a remittance shock. Despite rising global energy costs, petrol and diesel prices in major cities like Delhi, Mumbai, Kolkata, and Bengaluru remain unchanged, although a rise cannot be ruled out in the near future. State-run fuel retailers are reportedly facing losses of around ₹20 per litre on petrol and nearly ₹100 per litre on diesel due to stagnant retail prices. Union Minister for Petroleum and Natural Gas, Hardeep Singh Puri, noted that India has diversified its crude oil sourcing base to 41 countries to strengthen energy security during this crisis.