Africa NewsBusiness AfricaSlider
Indian oil refineries turn to Africa due to the closure of the Strait of Hormuz.“
New Delhi has reduced its imports from Russia by approximately 29.4% since last March.
Written by Ziad Abdel Fattah:
Data from trade sources showed that Indian oil refineries resorted to Imports From Latin America and Africa, after supplies from the Middle East were disrupted as a result of the Israeli-American war on Iran, which restricted navigation in the Strait of Hormuz.
Oil refineries in India, the world’s third-largest importer and consumer of oil, used to buy most of their crude oil from the Middle East, but with the outbreak of the Iran war at the end of February, they shifted their focus to other sources.
Indian oil refineries increase imports from Angola and Nigeria
In April and May, Indian oil refineries increased imports from Venezuela, Brazil, Angola and Nigeria to offset the shortfall, in addition to continuing to purchase Russian oil, according to preliminary data from Kpler.
Last month, India stopped buying oil from Iraq after exports halted, while it received Iranian oil after a seven-year hiatus following a temporary waiver granted by Washington to help stabilize global oil prices.
The data showed that New Delhi reduced its imports from Russia by about 29.4% from March to 1.6 million barrels per day, as Nayara Power shut down its 400,000-barrel-per-day refinery for maintenance.
India is scheduled to receive around 1.9 million barrels per day of Russian oil and around 41,000 barrels per day of Iraqi oil in May, according to preliminary data from Kpler.
India imported 4.57 million barrels of oil per day in April
Overall, India imported 4.57 million barrels of oil per day in April, a figure unchanged from March, but down 15.51 TP3T compared to the previous year, according to the data.
The data showed that imports from the United Arab Emirates rebounded in April to 669,700 barrels per day from 230,600 barrels per day in March, while Saudi oil consumption remained at around 619,500 barrels per day.
The United Arab Emirates and Saudi Arabia are the only producers in the Gulf that have pipelines to export crude oil bypassing the Strait of Hormuz, while Kuwait, Iraq, Qatar and Bahrain rely on the waterway for shipments.
High imports from the United Arab Emirates helped to halt the decline in the Middle East's share of India's imports, while the share of Russian oil fell to about 35% from about 50%.
Russia remains India's largest oil supplier, followed by the United Arab Emirates and Saudi Arabia. Brazil came in fourth, while Venezuela ranked fifth. Kpler data indicates that Venezuela is on track to become the fourth largest supplier in May.
Meanwhile, India's state-owned fuel companies have raised petrol and diesel prices again, the second increase in a week, a move reflecting the growing pressure New Delhi is facing due to rising global oil prices amid tensions and the ongoing war with Iran. Continue reading.
