India's August Russian oil imports slip 18% from July, tanker data show

In contrast, China stepped up purchases of Russian oil last month

By Reuters

Published: Mon 23 Sep 2024, 5:14 PM

India’s monthly oil imports from Russia fell by 18.3 per cent to about 1.7 million barrels per day (bpd) in August from the previous month due to lower crude processing by some refiners, tanker data obtained from trade sources showed.

In contrast, China stepped up purchases of Russian oil last month, reclaiming the spot of Moscow’s top oil client after India became the biggest buyer for the first time in July.

The share of Russian oil in India’s August imports declined to about 36 per cent after rising for five straight months, the data showed. In July, Russian oil accounted for about 44 per cent of India’s oil imports.

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Despite the decline, Russia remained the top oil supplier to India in August, followed by Iraq and Saudi Arabia, the data showed.

Overall, India, the world’s third-biggest oil importer and consumer, imported 4.7 million bpd of oil in August, down by about 1 per cent from July, the data showed.

India’s imports of Saudi Arabian oil last month declined to the lowest since July 2023 to about 498,200 bpd, the data shows.

India’s Chennai Petroleum has shut some units at its 210,000 bpd southern India refinery while Bharat Petroleum Corp reduced crude processing at its Bina refinery in central India to carry out maintenance work at some units.

Indian refiners have been avid buyers of Russian oil sold at discounts since Western nations imposed sanctions against Moscow and curtailed their energy purchases in response to Russia’s invasion of Ukraine.

Indian refiners also received about 138,000 bpd of Canadian oil last month and 254,000 bpd of US crude, the data showed.

Due to a decline in intake of Russian oil, the share of OPEC nations in India’s overall purchases rose to a four-month high in August, driven by higher purchases of Iraqi oil.

However, the share of OPEC oil in India’s imports in the first five months of the fiscal year starting in April has slipped to an all-time low.

The share of Middle Eastern oil in India’s August crude imports rose to 44.6 per cent from 40.3 per cent in July. During April-August, the region’s share declined to about 44 per cent from about 46 per cent a year ago.