Russian oil makes up 40% of India's imports, alters OPEC's Share

In the first half of fiscal year 2023/24, India's oil imports from Russia accounted for approximately 40% of the country's total imports, strengthening Moscow's position as the primary supplier. This surge comes as Indian refiners reduce purchases from the Middle East. India, one of the world's largest oil consumers and importers, has become the leading buyer of discounted Russian seaborne oil after Western nations halted purchases from Moscow due to the Ukraine conflict.

On average, India imported 1.76 million barrels per day (bpd) of Russian oil from April to September, double the 780,000 bpd from the same period the previous year. In September alone, India's imports from Russia rebounded to 1.54 million bpd, up 11.8% from August and 71.7% from a year ago.

During April-September, Russia was India's top oil supplier, followed by Iraq and Saudi Arabia. Imports from Iraq and Saudi Arabia fell by approximately 12% and 23% to 928,000 bpd and 607,500 bpd, respectively. Middle Eastern imports during the same period declined by around 28%, reducing the region's share in India's overall oil imports from 60% to 44%.

The share of oil from the Commonwealth of Independent States (CIS), including Azerbaijan, Kazakhstan, and Russia, nearly doubled to 43%, largely due to increased purchases from Moscow. This decrease in Middle Eastern imports led to OPEC's share in India's overall imports dropping to its lowest level in 22 years. OPEC's share fell to 46% in April to September, compared to about 63% the previous year.