During the fiscal year 2023/24, Russia solidified its position as the leading oil supplier to India for the second consecutive year, significantly reducing the market share of Middle Eastern and OPEC producers to historically low levels. Industry sources tracking ship movements revealed this remarkable shift in India’s oil import dynamics.
Despite facing sanctions from Western nations due to its invasion of Ukraine, Russia has managed to become the primary oil supplier to India, the world’s third-largest oil importer. New Delhi has been actively purchasing Russian oil at discounted rates, as Western countries have refrained from buying and imposed sanctions on Moscow.
Despite the challenges posed by sanctions, India has continued to increase its imports of Russian oil, contributing to a significant rise in Russia’s share of India’s crude oil imports. In the fiscal year to March 31, Russian oil accounted for approximately 35% of India’s total 4.7 million barrels per day (bpd) crude imports, marking a substantial increase from the previous year’s 22%.
The data further reveals that India imported 1.64 million bpd of Russian oil in fiscal 2023/2024, representing a notable 57% surge from the previous year. As a result, the combined share of oil from Russia, Kazakhstan, and Azerbaijan—members of the Commonwealth of Independent States (CIS)—in India’s imports increased to 39% in 2023/24 from 26% a year ago. In contrast, the share of Middle Eastern oil in Indian imports plummeted to an all-time low of 46% from 55%.
Despite Russia’s ascendancy, Iraq remained the second-largest oil supplier to India, followed by Saudi Arabia in the fiscal year 2023/24.