<h1>Fuel pricing policy shields consumers by using company-held margins to stabilize retail petrol and diesel amid global crude spikes.</h1> India's fuel pricing policy freezes retail petrol and diesel prices by allowing public sector oil companies to absorb losses when international crude prices rise and build margins when prices fall; this cushion-based approach, overseen by the Oil Ministry, will continue unless a sustained, very large spike in crude or prolonged disruptions (notably via the Strait of Hormuz) make it untenable, exposing vulnerabilities from high import dependence and increased procurement, freight, and insurance costs.