look news india
India, the world's third-largest crude oil consumer and importer, bought $2.8 billion worth of crude oil from Russia in July, making it the second-largest importer of Russian crude oil after China. According to a report, Russia is the largest supplier of crude oil to India. It converts crude oil into fuels like petrol and diesel at refineries. Russian crude oil was available at a discount after some European countries refrained from buying from Russia after the invasion of Ukraine in February 2022. Before the Ukraine war, crude oil imports from Russia were less than one percent of total imported crude oil.
Huge savings in the country's crude oil import bill
According to a report, crude oil import prices from Russia were 16.4 per cent and 15.6 per cent lower than the levels from Gulf countries in the 11 months of FY2023 and FY2024. India's strategy of buying cheaper crude oil from Russia has resulted in savings of about $7.9 billion in the country's crude oil bill during the first 11 months of FY2022-23, helping the country reduce its current account deficit. Although India is the third largest importer of crude oil in the world, this large purchase of Russian crude oil has also helped stabilize prices in the world market, which has also benefited other countries.
About 40 percent of India's total crude oil purchases
It now accounts for nearly 40 per cent of India's total crude oil purchases. The Center for Research on Energy and Clean Air (CREA) said in a report that China accounts for 47 per cent of Russia's crude oil exports, followed by India (37 per cent), the European Union (seven per cent) and Turkey (six per cent). Not just oil, China and India also used to buy coal from Russia. According to the report, “From December 5, 2022 to the end of July, 2024, China bought 45 per cent of Russia's total coal exports, followed by India (18 per cent). Turkey (10 per cent), South Korea (10 per cent) and Taiwan (five per cent) are the top five buyers.
