India purchased $5.14 billion worth of Russian crude oil in June, according to a recent report, maintaining its position as a major buyer despite ongoing pressure from Western nations. The data shows that Indian refiners have not only increased imports from Russia but also boosted purchases from Latin American countries. At the same time, India's oil imports from the Middle East dropped sharply during the same period.
The trend highlights India's strategy of diversifying its energy sources to secure affordable supplies. Russian oil has been offered at discounts compared to global benchmarks, making it attractive for price-sensitive Indian refiners. The increased purchases from Latin America further indicate a shift away from traditional Middle Eastern suppliers.
The report underscores the complex dynamics in global oil markets, where geopolitical tensions and price considerations influence trade flows. India, as the world's third-largest oil importer, has continued to buy Russian crude even as Western countries have imposed sanctions on Moscow over its invasion of Ukraine. New Delhi has defended its purchases, stating that securing energy for its economy is a priority.
The sharp decline in Middle East imports suggests that Indian refiners are rebalancing their portfolios, taking advantage of competitive pricing from alternative sources. The development is likely to be watched closely by global energy markets.