India has a clear strategy of putting economic gains first when it comes to buying crude oil from Russia, especially when it comes to discounted rates. India is committed to obtaining the most affordable energy on the international market, as evidenced by Union Petroleum and Natural Gas Minister Hardeep Singh Puri’s emphasis that the country will keep purchasing Russian crude oil if it is provided at a discount.
According to Puri’s recent remarks, India’s choice to work with Russian oil suppliers has benefited the world oil market as well as India. According to him, India’s purchases prevented a major increase in world oil prices, which may have risen to $200 per barrel if Indian refiners had
Following the geopolitical tensions that followed Russia’s invasion of Ukraine, which prompted numerous Western countries to impose sanctions on Russian oil, this was especially pertinent.
Puri pointed out that although India has cut its imports from Russia by about 10% as a result of other suppliers’ competitive prices, the nation is still willing to get Russian oil when it makes sense financially. He said, “We are not committed to buying any quantity from anyone; we are committed to buying the most economically-priced energy” accessible. This strategy highlights India’s larger plan to guarantee its residents’ access to affordable and secure energy, especially as the country struggles with the volatility of global energy costs.
Puri has also responded to worries over US sanctions on Russian oil, saying that India’s supply chain is safe in spite of them. He reaffirmed his belief that there is enough oil available in the world and pointed out that Indian refiners are actively looking for reasonable prices from a range of suppliers, including established ones like Saudi Arabia and Iraq, as well as possible agreements with Russia.
India’s continued purchase of Russian crude oil depends on its economic sustainability and capacity to offer competitive prices. India will probably keep sourcing Russian oil as long as there are low prices available, juggling its energy requirements with geopolitical concerns.
