India steps up regional energy diplomacy, supplies Bangladesh with diesel

2026.03.20 13:20 Fuel nozzles at a Bharat Petroleum gas station in New Delhi. Photo: AFP India’s move to supply Bangladesh with diesel as fuel prices soar amid the Iran war reflects its “first responder” role in the region and clout through the use of its critical commodities to deepen ties with neighbouring states. If the fuel shortages were to persist, however, India would have to balance between its own energy demand and that of its neighbours, according to observers. Bangladesh will be importing 45,000 tonnes of diesel from India by April, with 5,000 tonnes having been delivered so far and more arriving via the 131.5 km India-Bangladesh Friendship Pipeline, according to Indian media reports. New Delhi’s foreign ministry spokesman Randhir Jaiswal said last Thursday that India had received a request for oil from Bangladesh. The call came amid a looming global energy crisis, with Iran maintaining a chokehold on global crude oil supply through the Strait of Hormuz, even as it allows passage of ships from certain countries, such as India. Apart from directly engaging with Iran’s leadership, India’s neutrality in the war has helped ensure the safe passage of its commercial vessels through the strategic waterway, according to analysts. Indian vessel ‘Nanda Devi’ carrying LPG arrives at a port in Gujarat state on Tuesday after Iran allowed it to pass through the Strait of Hormuz. Photo: AFP via Getty Images/TNS Jaiswal told a press conference that Delhi was also reviewing a request for diesel supply from other neighbouring countries, including Sri Lanka and the Maldives. India had been a major exporter of refined petroleum products to its neighbours and supplied Bangladesh with diesel since 2017, he added. Aditya Gowdara Shivamurthy, an associate fellow at the Observer Research Foundation think tank’s Strategic Studies Programme, said India was capitalising on the economic impact of the Middle East conflict to present itself as a “first responder” in helping neighbours

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