India is shocked by America’s new sanctions on Russia. According to sources, as a result, oil import from Moscow to this country may suffer. Because there is doubt about getting a ship to carry it. This may increase the cost of transportation. Russian companies can also reduce the price discount. All in all, the advantage that India was getting to buy oil at a low price, there is a fear of disappearing. On top of that, crude oil prices are rising again in the world market. A barrel crossed 82 dollars.
In February 2022, the month following the start of the Russia-Ukraine war, crude oil rose to around $140. In opposition to the aggression, the Western world imposed sanctions on Moscow. After that, Russia started selling oil at a low price mainly to finance the war. India took that opportunity. Some became Moscow’s largest importer of oil. Previously Russia nominal oil came to India In 2022, the average daily arrivals were 6.52 lakh. 16.6 lakh last year.
Indian Oil, Bharat Petroleum and Hindustan Petroleum are talking to Russian state-owned Rosneft to buy up to 4 lakh barrels of oil per day from April 1. But Rosneft’s offer of $3-3.5 per barrel discount is lower than Indian Oil’s current deal ($8-9). According to sources, it is less discounted. On top of that, there is a problem in meeting the price. As a result domestic companies have canceled the purchase of special quality crude oil. All in all, the situation is spinning.
