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The Ministry of External Affairs stated on Thursday that India’s choices are mostly driven by its needs for energy security in the midst of phase two of the price cap placed on the purchase of Russian oil.

According to MEA spokesman Randhir Jaiswal, India buys goods from overseas markets whenever they are offered at the “cheapest available rate.”

Speaking at the weekly news briefing, Jaiswal stated, “We are purchasing oil on the foreign market for everything related to energy security. All of these are driven by our needs for energy security, and we carry them out on a business basis. It is a business endeavour that we undertake.”

“We purchase oil at the best price from the global market, wherever it is offered. Our primary concern is ensuring our energy security,” he continued.

This occurs during phase two of the G7, EU, and Australian-imposed price ceiling on Russian oil. A team from the US Treasury Department is currently in India.

Following the outbreak of the crisis with Ukraine, the G7 alliance and its partners put a restriction on the price of Russian oil in December 2022 as one of several punitive measures against Moscow.

Eric Van Nostrand, the Assistant Secretary for Economic Policy at the US Department of Treasury, had earlier in the day applauded Washington’s move to impose a price cap.

We are aware that the Indian economy stands to gain significantly from both the Russian oil trade and the interruptions to the world supply that the price ceiling is intended to prevent. At a gathering in the nation’s capital, Nostrand stated, “The price cap’s objectives are to limit Putin’s revenue and maintain global oil supply—basically by creating a mechanism for India and other partners to access Russian oil at discounted prices.”

Another senior US source stated that no Indian firm has been sanctioned by the US for purchasing and refining crude oil acquired from Russia, nor has the US requested India to cease or reduce its oil imports from that country.

“There is no restriction, we have not asked India to reduce Russian oil buying,” Anna said.

“I also want to specify that once Russian oil is refined, from technical perspective, it is no longer Russian oil,” she stated.

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