The Organization of the Petroleum Exporting Countries (OPEC) coordinates petroleum policies among member countries to stabilize oil markets and prices. As a major oil importer, India is significantly impacted by OPEC’s production decisions. Analyse.

Topic: Effect of policies and politics of developed and developing countries on India’s interests, Indian diaspora.

Topic: Effect of policies and politics of developed and developing countries on India’s interests, Indian diaspora.

4. The Organization of the Petroleum Exporting Countries (OPEC) coordinates petroleum policies among member countries to stabilize oil markets and prices. As a major oil importer, India is significantly impacted by OPEC’s production decisions. Analyse.

Difficulty level: Moderate

Reference: The Hindu , Insights on India

Why the question: The Organization of the Petroleum Exporting Countries and its allies (OPEC+), on June 2, decided to extend its deep oil output cuts into 2025. At the same time, it hinted at a partial roll-back in the last quarter of this year, as it reported a steady May output at 26.96 million barrels per day. Key Demand of the question: To write about OPEC and impact of its decisions on India. Directive word: Analyse – When asked to analyse, you must examine methodically the structure or nature of the topic by separating it into component parts and present them in a summary. Structure of the answer: Introduction: Begin by writing about OPEC and its objectives. Body: First, write about the role of OPEC – o coordinate and unify petroleum policies among member countries to secure fair and stable prices for petroleum producers, ensure a regular supply of petroleum to consuming nations etc. Next, write about the potential impact of its decisions on India – influence global oil prices and, consequently, India’s inflation, trade deficit, and economic growth. Cite statistics to substantiate. Next, write about the measures India must take to prevent against the volatility of OPEC. Conclusion: Conclude by writing a way forward.

Why the question:

The Organization of the Petroleum Exporting Countries and its allies (OPEC+), on June 2, decided to extend its deep oil output cuts into 2025. At the same time, it hinted at a partial roll-back in the last quarter of this year, as it reported a steady May output at 26.96 million barrels per day.

Key Demand of the question:

To write about OPEC and impact of its decisions on India.

Directive word:

Analyse – When asked to analyse, you must examine methodically the structure or nature of the topic by separating it into component parts and present them in a summary.

Structure of the answer:

Introduction:

Begin by writing about OPEC and its objectives.

First, write about the role of OPEC – o coordinate and unify petroleum policies among member countries to secure fair and stable prices for petroleum producers, ensure a regular supply of petroleum to consuming nations etc.

Next, write about the potential impact of its decisions on India – influence global oil prices and, consequently, India’s inflation, trade deficit, and economic growth. Cite statistics to substantiate.

Next, write about the measures India must take to prevent against the volatility of OPEC.

Conclusion:

Conclude by writing a way forward.