India Shifts Oil Imports From Russia To West Asia
India reduced Russian crude imports in September while surging purchases from West Asia to 2.8 million barrels per day as supply constraints eased.
The Government of India shifted its crude oil procurement strategy in September, reducing reliance on Russian imports in favor of West Asian sources. Total crude imports rose 20% to approximately 5.33 million barrels per day, with imports from West Asia surging to 2.8 million barrels per day. This return to pre-war levels accounted for 54% of India's total purchases, aided by increased shipments through the Strait of Hormuz following the Iran war.
Russian oil imports fell to approximately 1.8 million barrels per day in September, a decline from July levels. Russia's share of India's oil purchases dropped from 46.6% in August to 33.5% in September. Despite this decrease, Russia remains India's largest supplier, followed by the United Arab Emirates and Iraq. Iraqi exports to India specifically jumped to 830,000 barrels per day from 171,000 in August.
Refiners shifted toward Middle Eastern crude due to competitive pricing and shorter voyage times, as premiums on Russian oil narrowed to $1-$2 per barrel against Brent. Additionally, tighter Russian supply and increased competition from Chinese refiners contributed to the slowdown. To further diversify, India increased imports from the Americas and Venezuela, with Reliance Industries' Jamnagar complex serving as the primary buyer of Venezuelan heavy, high-sulphur grades.
