India’s oil imports recorded their highest point since March in December, driven by an increase in domestic demand and a strategic shift to new suppliers.
The figures of the upturn
According to data from the Petroleum Planning and Analysis Cell (PPAC), the country imported 21.59 million metric tons of crude oil, an increase of 1.6% over November and 6.9% more than in December 2024. India, as the world’s third largest importer and consumer of crude oil, thus marks a clear sign of revival in its energy demand.
At the same time, imports of petroleum products fell by nearly 5.9% year-on-year to 4 million tons, while exports declined by around 6% to 5.41 million tons.
Changes in the Indian energy map
This rebound in imports coincides with a tense geopolitical context. The United States has suggested the elimination of 25% tariffs on India, conditional on a reduction in Russian oil purchases; pressure that has led New Delhi to seek alternative sources of supply.
Among the new partnerships highlighted, state-owned Bharat Petroleum Corp Ltd. Bharat Petroleum Corp Ltd (BPCL) announced the purchase of 12 million barrels of oil from Petrobras (Brazil) for a total of US$780 million by fiscal year 2027. Mangalore Refinery and Petrochemicals Ltd (MRPL) is exploring import options with Venezuela, while Reliance Industries Ltd, operator of the world’s largest refining complex, will resume purchases of Russian crude that comply with international sanctions.
Turning to other suppliers
As India gradually limits its dependence on oil from Russia, it has strengthened ties with other regions. According to recent reports, the country has finalized the purchase of 7 million barrels from Angola, Brazil and the United Arab Emirates, with deliveries scheduled for March.
This expansion of the supplier portfolio reinforces India’s intention to secure its energy supply in a volatile international environment and maintain its position as a resource-hungry developing power.
Energy projections
Although current data are preliminary due to the fact that some private refineries do not publish their figures on a regular basis, the pattern observed points to a structural reconfiguration trend in the country’ s oil imports.
India appears to be building a long term strategy that prioritizes energy securitydiversification and diplomatic response to global changes in the oil industry.
Source: Reuters