Kamal Ghorui
India is back to stepping up purchases of Russian crude as the ongoing US-Israel-Iran war blocks Strait of Hormuz and crucial oil supplies from the Middle East, according to reports. India imports nearly 90% of its crude oil, and in the last few months had increased purchases from the Middle East to wean away from Russian crude oil. However, with its energy security priorities in mind, India has sought to buy Russian crude to avoid supply shortages as Middle East tensions show no sign of abating.In recent weeks, Indian refiners had trimmed their purchases of Russian crude amid concerns that continued imports could complicate ongoing trade negotiations with the Donald Trump administration. This shift had prompted Moscow to divert additional volumes toward Chinese buyers.
Middle East Crisis: India Turns To Russian Oil
According to a Bloomberg report, ship-tracking data indicates that two Russian crude shipments which were originally bound for East Asia have redirected their course to India. According to vessel monitoring data from Kpler and Vortexa, the two tankers together carry roughly 1.4 million barrels of Urals crude and are scheduled to unload at Indian ports this week. Earlier voyage signals had suggested that the cargoes were headed to destinations in East Asia.The crude grade involved is Urals crude, typically shipped from ports in the Baltic and Black Sea regions. This grade had earlier become a preferred feedstock for Indian refiners. However, shipments to India declined significantly this year amid pressure from the United States on New Delhi to scale back purchases.
One of the vessels, the Suezmax tanker Odune, carrying about 730,000 barrels, reached Paradip on India’s eastern coast on Wednesday, according to shipping data and reports from port agents. It remains unclear whether the cargo has been fully discharged. The second vessel, the Aframax tanker Matari, transporting more than 700,000 barrels, is expected to arrive at Vadinar on India’s western coast on Thursday.Also Read | US-Iran war sends shockwaves! Most crude via Strait of Hormuz heads to China, India – how vulnerable are they after closure?The escalating conflict in the Middle East and the effective shutdown of the Strait of Hormuz have heightened fears of supply disruptions. As a result, refiners in India now appear to be reconsidering Russian crude supplies to offset potential shortages.Additional diversions may occur. Ship-tracking information indicates that Indri, a Suezmax tanker currently in the Arabian Sea, has altered its route after initially signaling Singapore as its destination. The vessel, which is carrying about 730,000 barrels of Urals crude, made a sharp turn northward earlier this week and is now heading toward India.The three tankers involved in these movements – Odune, Matari, and Indri – were all placed under sanctions last year by the European Union and the United Kingdom Government.
