India turns to OPEC as Russian oil drops
Shafaq News/ Russia's share in India’s oil imports is expected to decline in 2025, following the imposition of sweeping sanctions by Washington targeting Russian producers and tankers.
The measures, announced last Friday, have disrupted supplies from the world’s second-largest oil producer to key markets like India and China, while tightening the availability of oil tankers.
Data revealed that India, the world’s third-largest oil importer and consumer, recorded an oil import volume of 4.84 million barrels per day in 2024, marking a 4.3% increase from the previous year.
The share of the Organization of the Petroleum Exporting Countries (OPEC) in India’s 2024 crude imports rose to approximately 51.5%, compared to 49.6% in 2023, while Russia’s share remained stable at about 36%, the data showed.
The rising demand for Middle Eastern crude by Indian refiners comes as Russian supplies dwindle. “The decline in Russian exports has prompted Asian refiners, particularly in India, to pivot toward Middle Eastern barrels,” said Priti Mehta, a senior research analyst at consultancy firm Wood Mackenzie.
Notably, Reuters reported last month, citing refining industry sources, that Indian refiners have increased their purchases of Middle Eastern oil since late 2024.
December data reflects this shift, with Middle Eastern oil accounting for around 52% of India’s crude imports, the highest in 22 months.
Despite the decline in overall Russian exports, Russia remained India’s top oil supplier in December, followed by Iraq and Saudi Arabia.
Russia has maintained its position as a leading supplier in recent years, buoyed by the appeal of discounted Russian crude following Western sanctions and a price cap imposed on Moscow’s oil exports.
Although OPEC’s share in India’s crude imports rebounded slightly in 2024, it has faced a consistent decline since 2016, as Indian refiners diversified their sources to optimize costs. OPEC’s market share in India had previously shrunk from 64.5% in 2022 to nearly 50% in 2023, as Russian oil gained prominence.
