Crude oil imports from Russia set to dip in Sep, Oct before rising again

India's import of crude oil from Russia is set to dip in September and October, with the drop varying from 300,000 barrels per day (bpd) to 500,000, as the impact of muted cargo booking in the later half of July and the first half of August becomes visible.

- SUDHEER PAL SINGH

This is against an average 1.7 million bpd last year. The discounts offered on Russian oil had narrowed then amid looming tariffs of the United States (US).

Indian refiners subsequently switched to West Asia, West Africa, and the US to secure oil, leading to a spike in Dubai prices, induced by increasing tenders. Dubai crude oil prices have risen $3.4 a barrel since August 18.

However, analysts say arrivals from Russia are likely to again pick up as Indian refiners have resumed tendering Russian oil purchases in the second half of August.