Gulf oil exporters will most likely not cut crude supplies to India significantly next year in a bid to satisfy growing demand from Europe, executives at Indian state-run refiners told The Economic Times.
State-run refiners, which are currently preparing to negotiate an annual crude purchase deal, source nearly 60 per cent of their oil requirement through term deals. The annual buy agreement is renewed every year with the Gulf suppliers, mainly with West Asian national oil companies.
Amid Russia’s ongoing war in Ukraine, European nations have pledged to cut down their Rusian oil dependency by December and are seeking to replace Moscow’s crude from Gulf countries and other sources. As Europe decreases Russia’s oil imports, Russian crude has gained a big share in India’s spot purchases.
