Russian Crude Flow to Stay at Near Record

India's imports of Russian crude oil in June are on track to reach 2.0 million barrels per day, sustaining a strong upward trend supported by significant pricing advantages despite ongoing US sanctions, according to global real-time data and analytics provider Kpler.

- Arunima Bharadwaj

This would be the highest monthly volume imported since the July 2024 peak of 2.09 million barrels per day.

"Russia offers crude at consistent discounts compared to global benchmarks like Brent and Dubai, and even more so against West Asian grades on a landed-cost basis. This economic edge, combined with operational ease and geopolitical leeway, has made Russian barrels an attractive proposition for Indian refiners," said Sumit Ritolia, lead research analyst, refining & modeling at Kpler.

A key contributor to this trend has been the Urals grade, which, although not deeply discounted, averaged around $50 per barrel FOB (Free On Board) in May—comfortably below the $60/bbl price cap imposed by Western allies.

Ritolia noted that these favorable economics have not only improved refinery gross margins but also attracted substantial shipping capacity. Over 20 tankers previously involved in non-sanctioned trades were repurposed for Urals deliveries, helping to boost export flows.