iconiifl-logo-icon 1
IIFL

Invest wise with Expert advice

By continuing, I accept the T&C and agree to receive communication on Whatsapp

  • Open Demat with exclusive Advice & Services
  • Get a dedicated Relationship Manager to help you grow your wealth
  • Exclusive advisory on 20+ trading & wealth-based investment options
  • One tap Investments, Automated trading & much more
  • Minimum 1 lakh margin required
sidebar image

As competition increases, Russia undercuts Saudi oil in India

5 Aug 2022 , 09:42 AM

Russia has lowered the price of oil from its OPEC+ ally Saudi Arabia, opening the door for Moscow to increase market share in one of the largest crude importers. A tough competition is developing in India as a result.

Between April and June, Russian barrels were less expensive than Saudi crude, with the difference growing to roughly $19 per barrel in May, according to calculations made by Bloomberg using information from the Indian government. In June, Russia eclipsed the monarchy to take over second place behind Iraq as India's largest supplier.

Since most other purchasers avoided Russian oil after the invasion of Ukraine, only India and China have continued to do so. The South Asian country imports 85% of its oil requirements, and the low prices of the supplies offer some economic relief as the government struggles with high inflation and a record trade deficit.

According to government statistics, the cost of importing petroleum rose to $47.5 billion in the second quarter as a result of an increase in world prices and a recovery in gasoline consumption. Comparatively, during the same period last year, when prices and volumes were lower, there were $25.1 billion in sales. Due to recent drops in oil prices brought on by worries about an economic slowdown, consumers have experienced some relief.

Although the difference between Russian oil and Saudi crude decreased in June, a barrel of Russian oil still cost around $13 less on average than Saudi crude. Despite the fact that the majority of India's monthly supply would have been set before the invasion in late February, this premium contrasts to one of slightly more than $13 in March. In 2021, the monarchy ranked second among suppliers to India, with Russia coming in tenth.

Through the month of June this year, Iraq continued to be India's top crude supplier. In May, oil from the OPEC producer was almost $9 per barrel more expensive than Russian barrels, but in all other months, it was cheaper. Since March, India's imports from Russia have increased tenfold.

Related Tags

  • Crude Oil Russia Saudi
sidebar mobile

BLOGS AND PERSONAL FINANCE

Images
29 Mar 2024   |   10:14 AM
Images
28 Mar 2024   |   03:36 PM
Images
28 Mar 2024   |   03:01 PM
Images
28 Mar 2024   |   01:21 PM
Read More
Knowledge Centerplus
Logo

Logo IIFL Customer Care Number
(Gold/NCD/NBFC/Insurance/NPS)
1860-267-3000 / 7039-050-000

Logo IIFL Securities Support WhatsApp Number
+91 9892691696

Download The App Now

appapp
Knowledge Centerplus

Follow us on

facebooktwitterrssyoutubeinstagramlinkedin

2024, IIFL Securities Ltd. All Rights Reserved

ATTENTION INVESTORS
  • Prevent Unauthorized Transactions in your demat / trading account Update your Mobile Number/ email Id with your stock broker / Depository Participant. Receive information of your transactions directly from Exchanges on your mobile / email at the end of day and alerts on your registered mobile for all debits and other important transactions in your demat account directly from NSDL/ CDSL on the same day." - Issued in the interest of investors.
  • KYC is one time exercise while dealing in securities markets - once KYC is done through a SEBI registered intermediary (broker, DP, Mutual Fund etc.), you need not undergo the same process again when you approach another intermediary.
  • No need to issue cheques by investors while subscribing to IPO. Just write the bank account number and sign in the application form to authorise your bank to make payment in case of allotment. No worries for refund as the money remains in investor's account."

www.indiainfoline.com is part of the IIFL Group, a leading financial services player and a diversified NBFC. The site provides comprehensive and real time information on Indian corporates, sectors, financial markets and economy. On the site we feature industry and political leaders, entrepreneurs, and trend setters. The research, personal finance and market tutorial sections are widely followed by students, academia, corporates and investors among others.

RISK DISCLOSURE ON DERIVATIVES
  • 9 out of 10 individual traders in equity Futures and Options Segment, incurred net losses.
  • On an average, loss makers registered net trading loss close to Rs. 50,000.
  • Over and above the net trading losses incurred, loss makers expended an additional 28% of net trading losses as transaction costs.
  • Those making net trading profits, incurred between 15% to 50% of such profits as transaction cost.
Copyright © IIFL Securities Ltd. All rights Reserved.

Stock Broker SEBI Regn. No: INZ000164132, PMS SEBI Regn. No: INP000002213,IA SEBI Regn. No: INA000000623, SEBI RA Regn. No: INH000000248

plus
We are ISO 27001:2013 Certified.

This Certificate Demonstrates That IIFL As An Organization Has Defined And Put In Place Best-Practice Information Security Processes.