India’s crude oil imports from Russia saw a steep rise in October, capturing nearly a third of India’s total oil imports, as per the data from the union ministry of commerce and industry.
The import value from Russia escalated to $3.78 billion, a 44% increase from $2.62 billion recorded in the corresponding month last year.
This increase in Russian oil imports also marked an upward trend from September 2023, with a near 9% rise from the $3.48 billion figure.
According to the ministry, the country’s total oil import expenditure for the month stood at $12.43 billion, up from $10.42 billion in the month prior.
Post the Ukraine conflict in February 2022, Russia has emerged as India’s predominant crude oil source, largely due to the substantial price discounts offered. These discounts, which had previously exceeded $30 per barrel, have been reduced to a range of $5-6 per barrel this year, as informed by industry experts.
According to the data, Iraq continues to be a significant supplier of crude to India, holding its position as the second-largest, with oil exports to India in October valued at $2.83 billion, showing a 7.18% increase from $2.64 billion in the same month of the previous year.
Other key sources for India’s oil imports include Saudi Arabia, the United Arab Emirates, and Nigeria, contributing supplies worth $1.72 billion, $1.23 billion, and $7.76 billion respectively.
Notably, while imports from Saudi Arabia rose by 5.87% compared to last year, those from the UAE and Nigeria saw a decline of 27.94% and 24.97%, respectively.These figures highlight India’s increasing dependence on Russian oil amid the shifting global oil trade dynamics.
India, the world’s third biggest oil importer and consumer, has traditionally relied on Middle Eastern producers for meeting the bulk of its oil needs and rarely made purchases from Russia in the past due to high transportation costs.
