India’s crude oil imports from Russia decreased by more than 23% in August compared to the previous month, reaching a seven-month low, according to recent data by energy cargo tracker Vortexa.
Overall crude oil imports in India dipped 5% to 4.35 million barrels per day (bpd) in August from 4.57 million bpd in July, in line with falling demand as monsoon rains reduced industrial activity and mobility.
In August, the world’s third-largest oil consumer purchased 1.46 million bpd from Russia, 450,000 bpd less than in July. These shipments also represented India’s lowest Russian oil supply in the previous seven months.
Indian refinery imports from Iraq, another key source, also decreased from 891,000 bpd to 866,000 bpd in August.
Saudi Arabia, however, increased its crude oil supply to India by 336,000 bpd in July, hitting 820,000 bpd.
India’s oil imports from the United Arab Emirates also fell from 290,000 bpd in July to 273,000 bpd in August. Purchases from the US, meanwhile, declined by 59,000 bpd compared to July to reach 160,000 bpd in August.
‘Several Indian refiners have planned maintenance scheduled across September to November, which could cap their crude imports. But festive demand in Q4 is expected to boost domestic demand, which, coupled with robust export margins, is expected to see an uptick in India’s crude imports for the remainder of the year,’ Vortexa’s head of Asia-Pacific analysis, Serena Huang, was quoted as saying.
India, the world’s third-largest oil importer after China and the US, is experiencing a drop in crude oil demand during the four-month monsoon season, which typically begins in June, as parts of the country face severe flooding.
