Record High Russia Oil Imports
India’s crude oil imports from Russia have hit a record high of 1.6 million barrels per day in February 2023, making Russia the single largest supplier of crude oil to India for the fifth consecutive month. Russia’s share of India’s oil imports has risen from less than 1% before the Russia-Ukraine conflict in February 2022 to 35% in February 2023. This increase in Russian imports has come at the expense of traditional suppliers such as Iraq and Saudi Arabia, whose oil imports to India have declined. UAE has overtaken the United States to become India’s fourth-largest supplier of crude oil. Indian refiners are benefiting from processing discounted Russian crude, which is boosting their refining margins. The article suggests that India’s import appetite for Russian crude is likely to remain robust as long as the economics are favorable and financial and logistical services to support the trade are available.
