Six days ago, on July 4, 2026, Petroleum Minister Hardeep Singh Puri had said, ‘E20 is completely successful, no one has any problem.’ But on July 10, 2026, Road Transport Minister Nitin Gadkari himself said, ‘E20 will affect the mileage.’ These two statements have started a new debate across the country regarding E20 petrol. On one hand, common people are complaining on social media about reduced mileage of their vehicles and engine failure, while on the other hand, two senior ministers of the government are saying different things. What is going on, will there really be a difference in mileage and what is the meaning of the statements…

What’s the fuss over E20 petrol?

E20 means a mixture of 20% ethanol and 80% petrol. Ethanol is made from crops like sugarcane and corn. The government has made E20 petrol the standard fuel across the country from April 2026. Before this, E10 (10% ethanol) was used, for which most old vehicles were designed.

The government says that this will reduce oil imports, farmers will benefit and pollution will reduce. Starting from 1.5% ethanol blending in 2013-14, India achieved the target of 20% by 2025-26 5 years in advance.

The root of the problems is that ethanol is alcohol. It has two major chemical properties that can become a headache for the vehicle:

• Habit of absorbing water: Ethanol draws moisture from the air. When the amount of water in petrol increases, ‘phase separation’ occurs i.e. ethanol and water settle down and petrol remains on top. This lower layer goes directly into the engine and causes rust and poor combustion.
• Melting of rubber and plastic: The fuel lines, seals and gaskets of older vehicles are not made of ethanol-resistant materials. Ethanol slowly corrodes these, creating the risk of fuel leaks and costly repairs.

First Hardeep Singh Puri said- ‘Everything is fine, no problem’

Petroleum Minister Hardeep Singh Puri clearly said about E20, ’20 crore two-wheelers and about 20 lakh cars in the country are using E20 petrol and no one has any problem.’

Puri said that E15 is being used in India for the last three and a half years and E20 from April 2025. Both car-bike companies and mechanics have agreed that E20 is not causing any problems in the engine. Puri also said that the government is now testing on E25 (25% ethanol). He described the E20 as a ‘complete success’.

Then Nitin Gadkari said – ‘Mileage will decrease, but the car will not get damaged’

Road Transport Minister Nitin Gadkari also expressed his views on this matter. He was the first to admit that E20 would affect mileage because the calorific value (energy) of ethanol is less than that of petrol. Gadkari said, ‘There is a difference in the calorific value of ethanol and petrol and this is a fact.’

However, he also said that in most cases this impact will be very minor. Giving an example, Gadkari said, ‘In the intermittent traffic of Delhi-Gurugram, you apply brakes continuously, the speed does not go above 40-50. But if you drive at a constant speed of 100 km/hr, some difference may be visible.

Gadkari rejected the claims of engine damage due to E20 and said, ‘Show me even one car which has been damaged due to E20. What is going on on social media is part of a false story.

Gadkari also said that E20 was launched only after several tests by the Automotive Research Association of India (ARAI) and vehicle companies. For old vehicles, companies have been instructed to replace some parts (like washer) free of cost during servicing.

Then why is there an uproar over E20?

Despite the statement of the Central Government, the complaints of common people are not stopping. Thousands of people on social media are complaining about engine damage, reduction in mileage and effect on performance. Some people even demonstrated in Delhi.

The big problem is that older vehicles (which were built for E10) are now running on E20. Although unblended petrol (without ethanol) is still available, it is 40-50% more expensive. That means the common man has no option. The ARAI report also points to the danger of rubber fuel-system parts in older E10-compatible vehicles.

Former Delhi CM Arvind Kejriwal took this matter seriously. Kejriwal wrote a letter to 29 automobile companies demanding a clear answer whether E20 will harm old vehicles. Kejriwal said that in the manuals of some companies, E10 has been advised instead of E20. He sought written assurance from the companies that E20 will neither reduce mileage nor damage the engine.

After all, what is the truth about E20 petrol?

Nitin Gadkari has given an open challenge to the critics, ‘If even a single car, bike or scooter has been damaged by E20 petrol, then tell the name.’ He also alleged that a ‘false and paid campaign’ is being run against E20. At the same time, Hardeep Singh Puri clearly said that he does not think that the general public has any problem with E20.

According to experts, E20 will affect the mileage, it is true. Gadkari himself has accepted this. Ethanol contains less energy than petrol, so it is natural for the mileage to be slightly less. Companies have also said that mileage will be reduced by 3-3.5%. According to some estimates it could be up to 4-12%.

On the other hand, there is no concrete evidence that E20 causes engine damage. Government, ARAI and companies say that E20 was launched only after testing. Maruti Suzuki said that it has serviced more than 1.5 crore old vehicles, in which no defects related to E20 were found. But the big problem is that the government made this change very quickly (in just 3 years). Countries like Brazil made this change in 40 years. Even in America, E20 is optional, not mandatory.

There is no major contradiction in the statements of the two ministers regarding E20 petrol, but the real issue is about old vehicles and the experiences of common people. Thousands of complaints are coming on social media, but the government is calling them ‘fake news’. The opposition has also made it a political issue.

After the US-Iran war has stopped, the situation has started becoming normal, because the price of crude oil has fallen to 72 dollars per dollar. Meanwhile, another good news has come that Saudi Arabia, the world’s largest oil producing country, has made the biggest cut in the oil supplied to Asian countries for the month of August in the last 26 years. The reduction in the price of crude oil is being considered a big relief for India. Due to this, the prices of petrol and diesel in India are expected to reduce.

According to Bloomberg report, Saudi Arabia’s state oil company Saudi Aramco has decided to reduce the price of crude oil for Asia by $ 11 per barrel from August. This means that Arab Light crude will be available at a discount of $ 1.50 per barrel compared to the regional benchmark.

India imports a major part of its oil requirement from Saudi Arabia. In such a situation, this is being considered as a big relief news for Indian companies. However, crude oil prices have been soft in the global market since mid-June. The price of Brent crude in the international market has now come down to around $72 per barrel, which is around the level of the end of February this year.

Now there are many options for cheap oil
Let us tell you that after the end of the war between America and Iran, the movement of ships through the Strait of Hormuz has started again. It was closed due to war. As soon as Hormuz opened, oil company Saudi Aramco rapidly increased the shipment of crude oil from Ras Tanura port to 90 percent of the pre-war level. Due to the closure of Hormuz, the company had to send its goods via Yanbu port on the Red Sea, at which time the costs were increasing significantly. However, now due to normal oil supply, there are many options for cheap oil.

Apart from all this, OPEC Plus group led by Saudi Arabia and Russia has also announced an increase in oil production quota for August. Countries like Saudi Arabia, Iraq and Kuwait are fully utilizing their increased quota and releasing oil in the market.

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America and Iran completed a round of talks in Doha, Qatar, in which the main issue was the Strait of Hormuz. According to the Axios report, however, no information has been given by either side as to whether any progress has been made towards permanent peace. Apart from this, the terms of the MoU signed between the two countries last month were also discussed.

Axios, quoting sources, said that the main issues discussed included the Strait of Hormuz, Iran’s frozen assets and the ceasefire in Lebanon. Regarding Hormuz, US envoys Steve Witkoff and Jared Kushner tried to convince the Iranian side that their demand for toll in Hormuz could derail the entire US-Iran deal, which could cause greater damage to Tehran.

According to the report of Axios, an American official said that America has given a message to Iran to think big. The official further said that after the US lifts the embargo on Iranian products, the money Iran will earn from openly selling oil and other resources will be 100 times more profitable for them than adopting gangster-like methods to collect toll.

Situation worsened due to introduction of new shipping route
In view of the recent firing between America and Iran, the situation around Hormuz was an important issue in the talks held in Doha. The opening of a new shipping route in Hormuz, off the coast of Oman, worsened the situation and last week Iran attacked several commercial vessels.

When will the 60 day period of MoU be completed?
In the last few months, Tehran, along with Oman, has made several attempts to gain control over this strait. Iran has said that after the 60-day period of the MoU ends, both countries will manage the Strait of Hormuz and demand fees from ships passing through there. This 60-day period began immediately after the signing of the MoU last month and is aimed at reaching a final agreement to end the dispute between the US and Iran. The deadline for this is 18th August.

Differences regarding MoU also
According to the report of Axios, there have been differences between the two countries regarding the MoU. America says that any new arrangement in the strait should also get the approval of the Gulf countries. At the same time, Tehran says that Hormuz falls in their territory, hence Gulf countries can express their opinion, but only Iran will take the final decision.

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Movement of crude oil and gas ships has started again through Iran’s Hormuz Strait. In view of this, in the last 72 hours, 9 ships with flags of India and other countries have crossed the Strait of Hormuz, and 7 of these ships are coming towards India with goods.

Since the start of the war between America, Israel and Iran on February 28, 2026, till Saturday (June 27, 2026), 44 ships carrying goods for India have passed through this important sea route. After the end of the war, out of the 9 ships passing by, 4 have Indian flags and 5 have flags of other countries.

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Let us tell you that 15 more ships belonging to India are waiting for safe passage in the Persian Gulf, which includes 10 Indian flagged ships. According to TOI report, 4 of these ships are loaded with fertilizer and 1 is an energy cargo ship. According to the information, Indian flagged bulk carrier APJ Preeti 2, which was loaded with 65,000 tonnes of fertilizer, has crossed the Strait of Hormuz on Saturday.

Tension again in West Asia

A day earlier, two more ships, Desh Suraksha, carrying more than one lakh tonnes of crude oil, and Prabhu Parvati, carrying 18,732 tonnes of cargo, passed through this sea route. Meanwhile, after the attack on a ship in Hormuz on Thursday, America again attacked Iran, due to which tension in West Asia has increased again on Saturday.

How many ships have passed so far?

According to government data, only 19 ships passed between March 1 and June 17, but after the signing of the MoU between Iran and America on June 17, the number of ships coming to India has increased to 25. People monitoring the movement of ships said that since March 1, 15 bulk carrier ships have passed through Hormuz, which includes 13 LPG carriers, 11 crude oil tankers and 2 LNG carriers.

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Russian Oil Import: India increased crude oil imports from Russia during May 2026. According to media reports, Indian refineries purchased more Russian oil available at a discount, resulting in a significant increase in imports. This figure is said to be the highest level in the last 10 months.

Russia becomes the biggest supplier

After the Ukraine war, Russia turned towards Asian markets amidst the sanctions of Western countries. India got the most benefit from this. Due to availability of oil at cheap prices, Indian companies are continuously increasing purchases from Russia. Even in May, Russia remained India’s largest oil supplier.

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Why did imports increase?

According to experts, crude oil from Russia is cheaper than other sources. Apart from this, Indian refineries have increased purchases in view of the increasing demand. Margins of refining companies also improve due to availability of crude oil at low cost.

Iraq and Saudi Arabia behind

Due to increase in imports from Russia during May, the share of traditional suppliers like Iraq and Saudi Arabia remained less. However, India continues to buy oil from many countries to meet its energy needs.

India’s energy security got support

Experts believe that increasing imports from Russia is necessary for India’s energy security. India imports about 85 percent of its crude oil needs. In such a situation, availability of oil at cheap rates helps in controlling the country’s import bill.

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Will common people get benefit?

If crude oil prices remain controlled in the international market and refineries continue to get cheap oil, then the pressure on petrol and diesel prices may reduce in future. However, domestic fuel prices also depend on many other factors.

Investors are keeping an eye on the ongoing geopolitical tension in the Middle East and the situation in the global oil market. In such a situation, changes may be seen in India’s import pattern and oil prices in the coming months.

India has not been a part of any group in the Russia-Ukraine war since the beginning. Despite this, Europe expressed doubt on India. In view of this, Europe’s attempt to encircle India has suffered a major setback. External Affairs Minister S Jaishankar exposed the face of Europe from the soil of Finland and presented such evidence which has opened the eyes of the European Union.

External Affairs Minister S Jaishankar gave a befitting reply in Finland to the European countries who raised questions on India’s foreign policy. Showing a mirror to Europe, Jaishankar said that Europe was never attacked with Indian weapons, but on the contrary, India was attacked with European weapons. He said in clear words that for years India has been attacked with weapons which were sold by European countries.

S Jaishankar, who arrived in Finland to participate in the Kultaranta Talks program, had discussions with Finland’s Foreign Minister Elina Valtonen and UAE’s Assistant Foreign Minister Lana Nusseibeh. In the panel discussion, when S Jaishankar was asked that there is a perception in Europe that India talks about moral equality regarding the Russia-Ukraine war but also shows a soft attitude towards Russia by buying oil from it. On this the Foreign Minister gave such a reply that the European leaders were stunned.

Showed mirror to Europe
S Jaishankar clearly said that no European country has ever been attacked with Indian weapons. I wish I could say the same for European weapons in the context of India. The Foreign Minister further said that for many years European countries have been selling such weapons which were used in attacks on India. Despite this, India never took any step which threatened the security of Europe.

Jaishankar said that India buys oil on the basis of cost and availability. At that time most of the oil available in the market was Russian. The reason for this was that European countries were buying oil from the Middle East, which has been India’s traditional supplier. In such a situation, circumstances forced us to go in a different direction. He reminded that before 2022, India did not buy oil from Russia in large quantities, but after the Russia-Ukraine war, there was a change in the energy market and America itself had requested that India buy oil from Russia.

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Edible Oil Rules: If you buy mustard, soybean or refined oil for home, then next time you may see a big change in the market. The central government has decided to implement new rules regarding packaging of edible oil. Under this, now most of the edible oils sold in the country will be sold only in packs of 9 fixed sizes. The government says that this step will make it easier for customers to compare the prices of different brands of oil and will increase transparency in the market.

What is the new rule?

The Department of Consumer Affairs has made changes in the legal metrology rules. According to the new rule, edible oil companies will no longer be able to sell oil in arbitrary pack sizes. They will have to follow the packaging size decided by the government. This rule will apply to both edible oils manufactured in India and imported from abroad.

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In what size will the oil be available?

The government has fixed a total of 9 standard pack sizes. Now edible oil will mainly be available in these packs-

• 200 ml
• 500 ml
• 1 liter
• 2 liters
• 3 liters
• 4 liters
• 5 liters
• 15 liters
• 20 liters

On which oils will the rule apply?

This rule will apply to almost all the main oils used in the country. These include-

• palm oil
• soybean oil
• sunflower oil
• mustard oil
• peanut oil
• Sesame oil
• rice bran oil
• cottonseed oil
• corn oil

It is also important to mention the weight on the packet

The government has made another important change. Now companies will have to declare the quantity of oil along with its weight. For example, if 1 liter of oil is written on the pack, then its equivalent weight (in kilograms) will also have to be recorded on the packet. With this, customers will be able to get correct information about the product.

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Who got the exemption?

The government has kept small edible oil products in packs smaller than 200 ml and some special categories out of this rule. Its objective is to ensure that low-cost small packs remain available in the market and low-income consumers do not face problems.

Companies got 3 months time

Manufacturers, packers and importers have been given 3 months time to implement the new rules. During this time, companies will be able to make necessary changes in their packaging and labeling. However, companies who wish can implement these rules earlier also.

What will be the benefit to customers?

The government believes that having similar pack sizes will make it easier for customers to compare the prices of different brands of oil. This will reduce confusion at the time of purchase and consumers will be able to take better decisions.

Even after the ceasefire between America and Iran on April 9, the Strait of Hormuz remains largely closed. Due to this, sea traffic is still being affected. Even in such an environment, ships belonging to India are passing through this risky route, which is helping India maintain energy supply despite serious disruptions.

Indian ships passing through Hormuz

Iran has significant geographical dominance over the Strait of Hormuz and has repeatedly targeted ships in response to the US-Israeli attacks on February 28. Speaking at a press briefing on Friday, Shipping Ministry officials explained how India is managing the movement of ships through the tense waterway, although they did not give operational details.

What did the officer tell?

Shipping Director Opesh Kumar Sharma said that due to obvious reasons I would not like to elaborate on the coordination and priority with India and Iran, but we coordinate through the Ministry of External Affairs and this is our current position. He said that the priority of ships is decided in collaboration with key ministries related to energy and essential supplies.

How many Indian ships are currently in Hormuz?

He further said that the decision regarding priority is taken in coordination with the Ministry of Petroleum and Natural Gas (MOPNG) and the Ministry of Fertilizers and after that, after preparing the priorities, we try to take out the ships. According to Sharma, currently about 13 Indian flag ships are present in Hormuz. These include one LPG tanker, 5 crude oil tankers, one chemical or product tanker, 3 container ships, 2 bulk carriers and 1 dredger.

How many Indian ships passed through Hormuz?

Despite the danger, India has continued maritime traffic through this route and is among the countries with the highest number of ships passing through the strait. Indian ships transiting this waterway since February 28 include Shivalik, Nanda Devi, Jag Ladki, Pine Gas, Jag Vasant, BW Tyre, BW Elm and Green Saanvi.

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Nirmala Sitharaman on Fuel Price Hike: Union Finance Minister Nirmala Sitharaman said on Monday (May 25) that reducing excise duty on petrol and diesel will lead to a loss of revenue of about Rs 1 lakh crore. He also stressed the need to instill confidence among the people and said that India cannot afford to spread fear.

This comment of Nirmala Sitharaman has come at a time when fuel prices have increased once again, which is the fourth increase in 10 days. On Monday, the price of petrol increased by Rs 2.61 per liter and the price of diesel increased by Rs 2.71 per liter, putting further pressure on family budgets and transportation costs.

‘Need to instill confidence among citizens’

Speaking on the occasion of the 37th anniversary of Small Industries Development Bank of India (SIDBI), Sitharaman criticized the pessimistic atmosphere being spread by negative talk after PM Modi’s appeal. He said the country cannot afford to spread fear and there is a need to instill confidence among citizens through both words and actions.

Focus on ‘three F’- Finance Minister

It’s been three months since the Middle East crisis. Regarding this, Finance Minister Sitharaman appealed to focus on the three F’s: Fuel, Fertilizer and Forex. Emphasized that despite global uncertainty, India’s economy remains strong. The Finance Minister also pointed to the increasing global pressures and said that fertilizer prices have reached unimaginable levels, while high gold prices are creating some challenges on the external front.

He further said that some people are presenting this situation as if everything is falling apart, whereas he insisted that it is not so. We must understand that the challenges are more due to external reasons. India’s domestic economic situation remains positive and strong even today.

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The central government has taken a big decision regarding the import of silver. The Center on Saturday made its approval mandatory for the import of silver, thereby moving the metal from ‘free’ to ‘restricted’ category. In fact, in April there was an increase of about 157 percent in silver imports on an annual basis. Recently, the government has increased the import duty on gold and silver from 6% to 15%, so that imports can be controlled and foreign exchange can be saved for essential commodities like energy and fertilizers.

The two types of HS codes include bullion-grade silver or silver bars having a weight of 99.9% or more and other types of silver bars. Harmonized System (HS) codes are a classification system for commercial products. According to the notification, unrestricted import of silver has been stopped from Saturday. Now anyone will need government approval or license to import it.

How much foreign currency does India currently have?

This order of the government has come a few days after the appeal to avoid non-essential foreign travel and not to buy gold for a year in view of the increasing pressure on India’s foreign exchange reserves. India has foreign exchange reserves of more than $690 billion, which is enough to cover 10 months of imports. However, the government is exercising caution because the war may drag on. Especially the import of gold and silver is causing a lot of pressure.

Import of silver is many times more than that of gold.

India’s gold imports increased by 24.08% to $71.98 billion in fiscal year 2026, while silver imports increased by 149.48% to $12.05 billion. Trade data released by the government on Friday showed that silver imports increased to $411.06 million in April, compared to $159.85 million in April 2025. Silver import increased by 181.17% to Rs 3,845.51 crore in April 2026, compared to Rs 1,367.67 crore in the same month of the last financial year.

Data related to the quantity of imported goods for the month of April has not been released yet. However, available data shows that both the import quantity and price of silver in March 2026 were higher than in March 2025. India imported silver consignment which increased by 91% to 128,987 kg in March 2025 and to 247,008 kg in March 2026.

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