India secures new oil supply, prepares major import surge — Bloomberg
Photo: India is expecting the arrival of more than 12 million barrels of oil (Getty Images)
India plans to import the largest volume of oil from Venezuela in the past six years, offsetting its shortfall from the Middle East caused by the war in Iran, according to Bloomberg.
According to Kpler data, in April, the Indian west coast will receive the largest volume from Venezuela since February 2020, over 12 million barrels.
The shipments arriving this month were likely booked before the recent disruptions in supplies from the Middle East. This underscores a long-term strategic shift rather than a purely reactive move, noted analyst Sumit Ritolia.
"The South Asian nation, which imports about 90% of its crude, has been seeking alternatives after the Iran war disrupted flows through the Strait of Hormuz, which typically transits almost 40% of the country’s oil supplies," the agency writes.
Venezuela produces similar high-sulfur blends, and India was previously a major buyer from this OPEC producer before trade was restricted by US sanctions. Washington later eased those sanctions following the ouster of Venezuelan President Nicolás Maduro.
Energy market situation
RBC-Ukraine reported on the Strait of Hormuz and why Iran’s blockade of it drove up global oil prices. A significant portion of the world’s fuel exports passes through this vital waterway.
Indian Prime Minister Narendra Modi held talks with Iranian President Masoud Pezeshkian. The leaders discussed the security of trade routes amid the escalation of the conflict between the US, Israel, and Tehran.
In addition, India has resumed imports of oil and liquefied natural gas from Iran for the first time in seven years, amid the blockade of the Strait of Hormuz. Before this, Delhi had avoided trade with Tehran, strictly adhering to the US sanctions regime.
