Indian Oil Corp, India's largest refiner, has purchased around 7 million barrels of crude from Angola, Brazil, and the United Arab Emirates for March delivery, Reuters reported, citing trade sources - a sign that Western sanctions are reshaping global oil flows away from Moscow.
The shift comes as Indian refiners adjust procurement strategies to reduce reliance on Russian crude following tougher Western sanctions.
India’s imports of Russian oil fell to their lowest level in two years in December, while crude sourced from OPEC producers reached an 11-month high, trade data showed.
New suppliers fill the gap
The new purchases include oil from Brazil’s state-controlled producer Petrobras, as well as cargoes from the Middle East and Africa, the sources said. Indian Oil is India’s largest refiner and a key buyer on the global crude market.
India had emerged as the largest buyer of discounted Russian seaborne crude after the start of Russia’s full-scale invasion of Ukraine in 2022. Refiners there are now diversifying supplies, including purchases from Latin America and the Middle East, as part of efforts to stabilize supply and respond to sanctions pressures.
Sanctions tighten the screws
The pressure on Russian oil has intensified in recent weeks. The EU cut its price cap to $44.10 per barrel as of 1 February - and for the first time, the cap will automatically drop further if oil prices fall, ensuring Russia cannot benefit from cheaper global crude.
In Washington, President Trump has backed legislation threatening 500% tariffs on any country buying Russian oil, gas, or uranium - a vote could come as early as next week.
