Amid New sanctions, India buys 2.5 billion euros of crude oil from Russia
India, the second-largest buyer of Russian crude oil, had purchased oil worth 2.5 billion euros in October before new sanctions were imposed on Russian companies, said a European research institute. India’s expenditure on Russian oil purchases in October remained the same as in September at 2.5 billion euros.
According to the Centre for Research on Energy and Clean Air (CREA), India remained the second-largest buyer of Russian fossil fuels after China in October. On October 22, the US imposed sanctions on Russia’s two largest oil-producing companies, Rosneft and Lukoil, to curtail the Kremlin’s resources for funding the Ukraine war.
Following sanctions imposed on Russian companies, companies like Reliance Industries, HPCL-Mittal Energy Ltd, and Mangalore Refinery and Petrochemicals Ltd have currently halted imports of Russian oil. Russia shipped 60 million barrels of crude oil in October, with Rosneft and LukOil contributing a combined 45 million barrels.
India remained the second largest buyer of Russian fossil fuels, importing a total of 3.1 billion euros. Crude oil accounted for 81 percent (2.5 billion euros) of India’s total purchases, followed by coal at 11 percent (351 million euros) and oil products at 7 percent (222 million euros),” CREA said in its monthly monitoring report.
India, traditionally dependent on Middle Eastern oil, significantly increased its imports from Russia following the February 2022 invasion of Ukraine. Western sanctions and a decline in European demand made Russian oil available at a steep discount.
As a result, India’s imports of Russian crude oil increased from one percent of its total crude oil imports to nearly 40 percent in a short time. In September, India spent a total of 3.6 billion euros. This included 2.5 billion euros on crude oil, 452 million euros on coal, and 344 million euros on oil products.
