India’s iron ore and transport rely heavily on petroleum as oil jumps to $100

Iron ore uses petroleum products for most intermediate inputs

With Brent crude climbing to around $100 a barrel from $73 since the Middle East unrest began on February 28, India’s core sectors face fresh cost pressure. New Supply and Use Tables from the statistics ministry show petroleum products embedded in intermediate inputs across industries. Iron ore is the biggest standout, with petroleum accounting for 56.7% of intermediate consumption in 2023-24, followed by mining at 56% and land transport at 54.7%, putting multiple supply chains at risk.