New Delhi, May 18: India has maintained its oil purchases from Russia, regardless of U.S. sanctions or exemptions. A senior official from the Ministry of Petroleum confirmed this on Monday, emphasizing that these purchases will continue to meet commercial needs and ensure the country’s energy security.
During a media briefing, Joint Secretary Sujata Sharma clarified that India has been buying oil from Russia both before and during the exemption period, and continues to do so now. She stressed that India’s decisions regarding crude oil purchases are primarily based on commercial requirements and the availability of adequate supply.
“Our most important consideration is commercial viability, and purchases are made on that basis,” she noted. Sharma also assured that there is no shortage of crude oil, as sufficient supply has been secured through long-term agreements.
The temporary exemption granted by the U.S. for the sale and delivery of crude oil shipped from Russia ended on May 16. This exemption was initially issued by the U.S. Treasury Department in mid-March and extended in April, aimed at easing pressure on the global energy market and controlling rising crude oil prices amid the Iran conflict.
Sujata Sharma stated that whether or not there is an exemption, it will not affect India’s decision-making process.
As the world’s third-largest oil importer, India has significantly increased its purchases from Russia to take advantage of lower prices, aiding domestic refiners in managing the pressures of global energy costs.
In recent months, the U.S. has imposed sanctions on several Russian companies, leading to a temporary decrease in purchases last year. However, following the exemptions, Indian refiners have ramped up their buying again.
According to data firm Clipper, India’s imports of Russian oil are expected to reach nearly a record 1.9 million barrels per day in May. This comes at a time when Brent crude prices have surged above $100 per barrel. India’s continued purchases from Russia have helped alleviate some demand pressure in the global oil market, contributing to price stabilization.
Analysts suggest that the likelihood of India halting oil purchases from Russia in the future is low. While there may be increased documentation and scrutiny in the purchasing process, significant changes in sourcing are not anticipated.
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My name is Ganpat Singh Choughan. I am an experienced content writer with 7 years of expertise in the field. Currently, I contribute to Daily Kiran, creating engaging and informative content across a variety of categories including technology, health, travel, education, and automobiles. My goal is to deliver accurate, insightful, and captivating information through my words to help readers stay informed and empowered.
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