India imported a record volume of crude oil from Russia in January, accounting for 28% of its total imports, according to energy cargo tracker Vortexa. Despite the West's attempts to cap the price of Russian oil, India's imports remained undeterred, reaching new heights in the process.
This impressive increase in imports from Russia highlights the growing importance of their energy relationship and India's continued commitment to securing its energy needs despite external pressures.
In January, India received 1.27 million barrels per day (mbd) of Russian crude, 6% more than in December, while China received 0.98 mbd and Europe received 0.27 mbd.
In January, Russia continued its dominance as India's top crude oil supplier for the fourth consecutive month, solidifying its market position with an improved share of 26%, up from 25% in December. Meanwhile, Iraq, Saudi Arabia, and the UAE also made gains, each expanding their share by one percentage point to 20%, 17%, and 8% respectively.
The US made a notable increase, rising from 7% to 9%, while Africa's share fell from 9% to 6%. These shifting market dynamics paint a picture of a constantly evolving energy landscape in India.
The Russian Urals are trading below the imposed price cap, and the ample supply from existing and reliable vessel owners has ensured a steady flow of exports. According to Serena Huang, an analyst at Vortexa, 'sufficient tonnage supply and existing vessel owners have facilitated the continued exports of Russian crude so far.' This resilience in the face of external pressures highlights the strength and stability of Russia's oil trade.
In January, India's total crude imports fell 6% from the previous month to 4.6 million barrels per day.
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