Indian officers have requested the US to allow crude imports from Iran and Venezuela if Indian refiners are compelled to cut back purchases of Russian oil.
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NICK OXFORD
Indian officers have once more advised the Trump administration {that a} vital discount in Russian oil imports by the South Asian nation’s refiners would require Washington to as an alternative enable crude purchases from sanctioned suppliers Iran and Venezuela.
A delegation visiting the US this week reiterated the request in conferences with American officers, an individual with information of the discussions stated, asking to not be recognized because the talks are non-public. Indian representatives have emphasised that concurrently reducing off Indian refiners’ provide from Russia, Iran and Venezuela — all main oil producers — might result in a spike in international costs, individuals conversant in the negotiations added.
Spokespeople for the Commerce and Oil Ministries, and the US embassy in New Delhi, didn’t instantly reply to requests looking for remark.
New Delhi’s representatives traveled to the US for talks after Washington imposed crushing tariffs on the nation in punishment for its oil commerce with Russia. Regardless of the levies, the South Asian nation has maintained its crude imports from the OPEC+ producer, albeit at a decrease fee.
Indian Commerce Minister Piyush Goyal stated this week that the nation wished to extend its purchases of American oil and gasoline, including that “our vitality safety targets could have a really excessive aspect of US involvement.” He made the remarks in New York.
Discounted Russian crude eases import prices
Russia was compelled to low cost its crude after many others shunned commerce with Moscow as a result of conflict in Ukraine. Nearly 90% of India’s oil wants are met by imports, and cheaper Russian barrels have helped to cut back the burden on its import invoice. Iranian and Venezuelan oil would even be equally discounted.
India stopped shopping for Iranian oil in 2019, and the nation’s largest non-public refiner — Reliance Industries Ltd. — halted purchases of Venezuelan crude this yr because the US tightened sanctions. Processors can shift to purchasing extra Center Japanese barrels, however it could come at a better price and inflate the general import invoice.
Oil refiners paid a mean $68.90 a barrel for Russian crude in July, in contrast with $77.50 from Saudi Arabia and $74.20 from the US, in line with knowledge from the Commerce Ministry. India is the most important purchaser of Russian oil delivered by tanker, whereas China is the biggest total importer, together with deliveries by pipeline.
The oil market can be on monitor for a big surplus subsequent yr because the OPEC+ alliance and producers from outdoors the group enhance output, which is more likely to put downward stress on international crude costs.
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Printed on September 25, 2025