New Delhi, December 18
India will import a large amount of Russian crude oil in December as well and could be its top buyer for the second month in succession, according to trade data.
In November, India accounted for 53 per cent of tanker shipments of Ural grade oil — shipments to several countries, including China, is not calculated. This is was the highest amount of crude India had ever sourced from Russia.
India is buying the crude at a discount value this month than last month. The rate is around $50-55 per barrel, which is below the West’s price cap of $60 on the Russian crude since December 5.
India’s share in loading for December may cross 70 per cent, say specialist trade magazines.
The EU, G7 nations and Australia have introduced the $60 per barrel price cap on Russian oil, which was effective from December. There is also the EU’s embargo on imports of Russian crude by sea.
The Russian Ural was heavily favoured by at least 12 European countries as the transportation costs were less than that from the Gulf or North America. But the number of countries who are now buying the crude is negligible.
Besides India, Turkey, Bulgaria and China have contracted for moderate amounts of Ural crude in December. Bulgaria is the second biggest consumer after India as it has been excluded from the EU’s oil sanctions.
