Russian oil trade with India continues to grow

Moscow. The war between Russia and Ukraine continues to drag on. This war is also affecting the business of the world, but the business of Russian oil with India is continuously increasing. According to media reports, Russia is selling the supply of crude oil coming out of the Arctic region to India and China at a discount. Earlier this oil was being sold to European countries.

In fact, in December, the European Union, the G-7 group of countries and Australia imposed a price cap on Russian oil. While implementing the price cap, it was said that if Russia does not accept it, many more restrictions will be imposed on it. Russia refused to accept the price cap. Russia said that the country which will put a price cap on its oil, will stop selling oil to it. After this, the crude oil coming out of the Arctic region, which was sent to the countries of Europe, was stopped. After stopping the supply in European countries, oil companies have started looking for new buyers.

According to the information, the supply of Arctic oil to India is increasing continuously from May 2022. A record amount of Arctic oil was sold to India in November. Russia exported about 66 lakh barrels of oil to India in November, while about 41 lakh barrels of oil were exported in December. Most of the oil in this was from Arco and Arco/Novi Port. If sources are to be believed, last week India received the first cargo of Varande crude from the Arctic region. It was loaded and sent in the last week of November. With 9 lakh barrels, this cargo reached India’s Kochi Port on 27 December via Europe and then Suez Canal. This oil was supplied to Indian Indian company Bharat Petroleum.

According to Indian refinery sources, oil from Arco and Novi Port in the Arctic region has a higher margin of $10 per barrel compared to American oil such as Mars and West Texas. Another source associated with the Indian refinery said that the processing of Varande oil of the Arctic region is easy for Indian refineries. Now India and China are its main home.