India's fourth-largest oil supplier is now Russia.

Photo by Maria Lupan on Unsplash

India’s fourth-largest oil supplier is now Russia.

India diversifies its oil supply sources, and Russia is becoming an important supplier. A recent report states that India’s imports of Russian oil have more than doubled. India now stands as Russia’s fourth-largest oil customer. This shift away from traditional suppliers like Saudi Arabia and Iraq reflects economics and politics.

Russia’s 6% share of India’s oil purchases in April was a record high and accounted for around 277,000 barrels per day (BPD), up from the 10th position last month.

Last month, India’s premier refiner Indian Oil Corp purchased its first-ever Russian Arco oil shipment. This purchase is likely to bring fresh dividends for both nations as it marks another step forward in easing relations between the two countries and opens up greater opportunities than ever before!

The Reason Behind This Trade

Indian refiners have increased their purchases of cheaper Russian oil spurned by many Western governments and industries due to Western restrictions against Russia for its invasion of Ukraine.

India’s oil imports from Africa have fallen to roughly 6% in April, down from 14.5 percent last month i.e, march, while the United States’ contribution nearly halved to 3%. As the economies of India and Russia grow closer, trade between the two countries has also been on the rise.