Ajit Karn
Kpler data indicates that India has become Europe’s largest supplier of refined fuels this month, while concurrently purchasing record quantities of Russian crude.
Since the embargo on Russian oil, Europe’s dependence on crude oil from India has increased. Kpler’s data indicate that Europe’s imports of refined fuel from India will surpass 360,000 barrels per day, edging clear of those from Saudi Arabia.
The development has both advantages and disadvantages for the European Union. On the one hand, the EU requires alternative sources of diesel now that it has severed direct ties with Russia, its former leading supplier. However, this ultimately increases the demand for Moscow’s casks and increases shipping costs.
It also means more competition for Europe’s oil refiners, who cannot access inexpensive Russian crude, and it comes amid heightened market surveillance regarding the origin of the region’s diesel imports.
According to Kpler data, Russian crude oil imports to India are expected to surpass 2 million barrels per day in April, representing nearly 44 percent of the country’s total oil imports.
Russia became India’s largest supplier for the first time in 2022-23 (FY23) as a result of its discounted oil sales during the Ukraine conflict. Despite Western concerns regarding India’s imports from Russia during the conflict. India has adopted a firm stance and stated that it is exploring all available options to attain energy security.
Despite the western price limit of USD 60 per barrel, Russia was the largest exporter of crude oil to India by value in February, according to data from the Union Ministry of Commerce and Industry. In February, crude imports from Russia totaled $3.35 billion, followed by Saudi Arabia at $2.30 billion and Iraq at $2.05 billion.
Also read this:New Zealand: Over 100 women from Indian diaspora celebrate centennial episode of ‘Mann Ki Baat’
The price ceiling maintained by western nations was intended to limit Russian oil revenues while keeping oil circulating to prevent a global price shock.
