India’s Potential Shift Towards Venezuelan Crude Amid Eased US Sanctions: A Strategic Analysis
Indian refiners are likely to consider the Venezuelan market to import discounted barrels, according to a report by S&P Global Commodity Insights. As the US has eased the sanctions on Venezuela including on its oil exports, if the refining economics would favour Venezuelan crude in the future, S&P Global has said that Indian refiners may need to displace crude from their existing sources, which might include West Asian, Latin American and US crudes. During the pre-sanctions period from 2017 to 2019, India imported approximately 300,000 barrels per day of Venezuelan crude grades. These imports represented around 5percent-7percent of India’s total crude oil imports during that time.
