India ‘s Russian Crude Exports Fall to Five Month Low
India imported an average of 1.74 million bpd of Russian crude in September. The volumes imported were the lowest since 1.58 million bpd of Russian crude imports in April. It compared with 2.02 million bpd of Russian imports in August and 2.65 million bpd in July.
PTI
India’s imports of Russian crude fell to about 1.75 million barrels a day in September, their lowest level since April, as refiners diversified purchases amid geopolitical risks, even as the country’s overall crude intake rose sharply on stronger refinery runs, according to ship tracking data.
India’s total crude imports averaged about 5.3 million barrels a day in September, up roughly 600,000 barrels per day (bpd) from August and 700,000 barrels a day from a year earlier, according to data from global commodities data and analytics firm Kpler.
India imported an average of 1.74 million bpd of Russian crude in September. The volumes imported were the lowest since 1.58 million bpd of Russian crude imports in April. It compared with 2.02 million bpd of Russian imports in August and 2.65 million bpd in July.
Iraq and Saudi Arabia made up for the drop in Russian volumes. Iraq supplied some 575,000 bpd of crude this month, up from 163,000 in August. Saudi volumes also rose to 566,000 bpd in September from 347,000 bpd last month. The UAE supplied 480,000 bpd, down from 546,000 bpd in August.
Sumit Ritolia, Senior Manager (Modelling) at Kpler, said the decline in Russian flows comes as Washington continues to pressure buyers of Russian oil, prompting Indian refiners to keep their sourcing options flexible.
Russia nevertheless remains a major component of India’s crude basket, with buying decisions continuing to be driven primarily by economics, availability and refinery compatibility, he said.
The latest reduction in Russian volumes does not indicate a wholesale shift away from Russian crude, but Indian refiners could exercise greater caution if the US announces unilateral punitive measures targeting India over purchases of Russian oil, he said.
According to Ritolia, during any period of uncertainty, refiners could reduce – rather than halt – Russian purchases while assessing enforcement, potential waivers and the availability of alternative supplies, a pattern seen during previous periods of heightened scrutiny.
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