India Increases Russian Oil Purchases Amid Supply Concerns

Indian refiners have secured approximately 60 million barrels of Russian oil for delivery in April 2026, a significant increase from previous months. This surge comes as the ongoing conflict in the Middle East disrupts oil supply routes, particularly through the Strait of Hormuz. The recent purchases were made at premiums ranging from $5 to $15 per barrel above Brent prices, reflecting a strategic move to mitigate supply shortages. Notably, this volume mirrors March's purchases but more than doubles the amount imported in February, according to data from Kpler.

Bloomberg

The increase in Russian oil imports follows a U.S. waiver that permits India to acquire Russian crude that was already loaded onto vessels prior to March 5, 2026. This waiver was expanded to include additional countries and updated to allow purchases of crude already at sea before March 12. Historically, India has been a major buyer of discounted Russian oil since the onset of the Ukraine conflict in early 2022, although it had significantly reduced its purchases under U.S. pressure late last year, opting instead for oil from Saudi Arabia and Iraq. However, these alternatives became less accessible due to the war's impact on shipping routes.

Bloomberg

Indian refiners, including Mangalore Refinery & Petrochemicals Ltd. and Hindustan Mittal Energy Ltd., which had previously avoided Russian oil since December 2025, are now re-entering the market. In addition to Russian crude, India is also increasing its imports of Venezuelan oil, with projections for April arrivals reaching 8 million barrels, the highest level since October 2020. This diversification strategy aims to stabilize supply amid ongoing geopolitical tensions.

Bloomberg

The renewed demand for Russian oil has resulted in significant profits for the Kremlin, which is currently experiencing its highest earnings from crude exports since March 2022. The elevated prices and increased sales volumes underscore the complex dynamics of global oil markets influenced by geopolitical events.

Bloomberg

Officials in New Delhi anticipate that the U.S. waiver allowing the purchase of Russian oil will be extended as long as disruptions in the Strait of Hormuz continue. This expectation reflects India's reliance on imported oil and its need to secure stable supply lines amid fluctuating geopolitical conditions.

Bloomberg

While the increase in Russian oil imports may alleviate immediate supply concerns for India, it has drawn criticism from various quarters. Some analysts argue that reliance on Russian oil undermines international sanctions aimed at curbing Moscow's revenue from energy exports. This situation raises questions about the long-term implications of India's energy strategy in the context of global political pressures.

Bloomberg

There are discrepancies regarding the extent of India's previous reductions in Russian oil purchases and the exact impact of U.S. pressure on these decisions. Additionally, the future of the U.S. waiver remains uncertain, contingent on ongoing developments in the Middle East.

Bloomberg

“The Kremlin is earning the most from its crude exports since March 2022, shortly after Moscow’s troops poured into Ukraine.” — Industry Analyst

Bloomberg