Context:
The ongoing West Asia conflict risks disrupting several critical industrial inputs for India, beyond oil and gas.
Key Raw Materials at Risk
• Limestone
• Gypsum
• Sulphur
• Direct reduced iron (iron produced from ore without melting)
• Copper wires
Key Points
• Import dependence from West Asia is significant:
- Limestone: 68.5%
- Gypsum: 62.1%
- Sulphur: 65.8%
- Direct reduced iron: 59.1%
• More than 40% of India’s rough diamonds are sourced from the region for processing and export.
• Disruptions in the Strait of Hormuz could increase logistics costs and delay supplies.
• Industries likely affected include steel, fertiliser and construction sectors.
