Purchases in February dropped to their lowest level since January 2023
India’s imports of crude oil from Russia decreased in February to their lowest level since January 2023. The downturn in purchases comes weeks after the outgoing US administration imposed sanctions against several Russian energy companies and numerous oil tankers.
Imports to India, the country that became Russia’s second largest buyer of oil following the outbreak of the Ukraine conflict, decreased by 14.9% from the previous month, averaging just around 1.4 million barrels per day in February, as per data from Kpler and cited by Bloomberg on Friday.
The shortfall from Russia was compensated for by several countries, primarily Iraq and Saudi Arabia, according to Kpler data. For instance, shipments from Iraq, India’s second-biggest supplier, jumped 8.3% in February. Indian refiners also bought more from Nigeria, Angola, Mexico, and Colombia. Crude purchases from Russia by the South Asian nation are expected to further decline over the next two months, the Bloomberg report suggested.
The latest sanctions imposed in January by the US and UK targeted Russian oil producers, including Gazprom Neft and Surgutneftegas, as well as 183 tankers involved in transporting Russian crude oil. The measures have impacted both India, the world’s third-largest oil importer, which largely relies on seaboard crude shipments, and China, the world’s largest importer.
Speaking in New Delhi in February, Russian First Deputy Energy Minister Pavel Sorokin emphasized that Moscow would continue supplying oil to global markets, including India, despite the sanctions. “We are pragmatic. We value our relationships, and we will continue to supply the market. Our resources are competitive from an economic standpoint,” Sorokin said.
He also suggested Russia would be increasing liquefied natural gas (LNG) shipments to India. New Delhi currently imports the super-chilled fuel from both Qatar and the US, which together meet about 50% of its demand.
India has walked a diplomatic tightrope in the Ukraine conflict, maintaining close contacts with the US and Europe while expanding its strategic partnership with Russia, which has emerged as its largest oil supplier.
Russian Ambassador to India Denis Alipov in an interview with News18 on Thursday praised New Delhi’s approach to finding the most cost-effective sources of oil and gas and noted that Russia has been a reliable and affordable energy provider.
