Surge in Russian Oil Purchases
India’s Oil Imports Tilt Strongly Towards Russia: India’s crude sourcing leaned heavily on Russian oil in August 2025, with imports touching 2 million barrels per day (bpd). This accounted for 38% of the country’s total crude imports. Data from Kpler showed a significant rise from 1.6 million bpd in July, signaling the continued shift in India’s energy strategy.
Static GK fact: India is the world’s third-largest oil consumer after the US and China.
Shift from West Asian Suppliers
While Russia gained ground, imports from Iraq and Saudi Arabia saw notable declines. Iraq’s supplies fell to 730,000 bpd from 907,000 bpd, and Saudi Arabia’s to 526,000 bpd from 700,000 bpd. Indian refiners are rebalancing their portfolios by capitalizing on discounted Russian barrels.
Static GK fact: Iraq was India’s top oil supplier until 2022 before Russia overtook it.
Economic Logic of Russian Crude
The attraction of discounted Russian crude remains the primary driver of India’s purchases. Lower prices allow India to manage domestic fuel costs, helping to stabilize inflation and safeguard economic growth. Energy affordability has become central to sustaining industrial activity and household consumption.
Static GK Tip: India imports nearly 85% of its crude oil requirement, making pricing highly sensitive to global trends.
Strategic Energy Diversification
India’s oil strategy is also guided by diversification. By scaling up Russian supplies, India reduces dependence on West Asian suppliers. This approach strengthens energy security in an uncertain global market marked by supply disruptions and geopolitical conflicts.
Geopolitical Balancing Act
India continues to face pressure from the US and the European Union to scale down Russian crude imports. Yet, New Delhi maintains its position that decisions are guided by national interest and energy security. Officials often describe the trade as “business as usual” despite global scrutiny.
Static GK fact: India has strategic petroleum reserves located in Vishakhapatnam, Mangaluru, and Padur with a capacity of about 5.33 million tonnes.
Impact on Global Energy Market
India’s surging demand for Russian oil is vital for Moscow, as it offsets losses from Western sanctions. At the same time, OPEC members like Iraq and Saudi Arabia face stiff competition in one of their largest Asian markets. For India, cheaper imports support growth, but growing dependence on Russia could pose diplomatic challenges in future alignments.
Static Usthadian Current Affairs Table
India’s Oil Imports Tilt Strongly Towards Russia:
Topic | Detail |
Russian oil imports in August 2025 | 2 million bpd |
Share of Russian oil in India’s crude basket | 38% |
Total crude imports (first half of August) | 5.2 million bpd |
Iraq oil imports | 730,000 bpd |
Saudi Arabia oil imports | 526,000 bpd |
Former top supplier of India before Russia | Iraq |
Strategic Petroleum Reserve sites in India | Vishakhapatnam, Mangaluru, Padur |
India’s global rank in oil consumption | Third |
Share of India’s crude oil imports in total requirement | ~85% |
Data source for oil import figures | Kpler (analytics firm) |