At a premium of $5 to $15 per barrel, India has ramped up its oil imports from Russia, as the ongoing West Asia conflict disrupts global oil supply chains and tightens shipping routes through the Strait of Hormuz. Over the past few days, India has significantly stepped up crude purchases from Russia, so much so that it has secured around 60 million barrels for delivery next month.
The move, highlighting New Delhi’s strategic pivot to ensure energy security amid one of the most volatile phases in global oil markets in recent years, comes as the United States gave a 30-day waiver to India to purchase oil from Russia, so as to mitigate the losses and impact of the Hormuz closure by Iran.
India’s buying of Russian crude and the following surge comes as the Iran-linked conflict has severely impacted shipping movement through the Strait of Hormuz, a critical chokepoint for global energy supplies. Over the past few days, tanker traffic has slowed, several cargoes from Gulf producers remain stranded, and oil supply chains are under increasing stress.
The situation has pushed countries like India, heavily dependent on imports, to urgently diversify sourcing strategies.
India turns back to Russia for stability
In response, Indian refiners have returned to Russian crude in a big way, booking cargoes at premiums ranging from $5 to $15 above Brent, reflecting tighter availability and rising demand. The volume matches current monthly intake levels, more than double February purchases, according to Kpler data cited by Bloomberg.
Key refiners, including MRPL and Hindustan Mittal Energy, have resumed buying after previously scaling back imports amid US pressure.
US waiver opens the door
A crucial factor enabling this shift has been a US waiver allowing countries to accept Russian oil shipments that were already loaded or in transit before early March. Initially applied to cargoes loaded before March 5, 2026, the relaxation was later expanded to shipments already at sea before March 12, 2026. It was also extended to countries facing supply disruptions.
Indian officials expect the waiver to remain in place as long as Hormuz disruptions persist, offering temporary relief in a constrained market.
India had recently increased imports from Saudi Arabia and Iraq, but the outbreak of hostilities has left many of these shipments stranded in the Persian Gulf. This bottleneck has reduced immediate crude availability, forced refiners to seek alternative, accessible supplies, elevated reliance on Russian cargoes.
Russia gains as demand surges
The renewed Indian demand is also boosting Moscow’s energy revenues. According to the Bloomberg report, Russia is earning its highest crude export revenues since March 2022, and rising global oil prices are only amplifying its gains. India had already emerged as a major buyer of discounted Russian crude, and the current crisis is reinforcing that trend.
Alongside Russia, India is also exploring other supply options to hedge risks. Venezuelan imports for April are projected at 8 million barrels, the highest since October 2020
LPG shipments from the US continue to arrive. This diversification strategy aims to reduce dependence on any single region or route amid ongoing geopolitical uncertainty.
Shipments continue despite turbulence
Despite global volatility, oil and gas shipments to India remain steady. Over the past few days, India has had several oil tankers docking at its ports like the Russian tanker MT Aqua Titan, which recently arrived off the Mangaluru coast. India also witnessed LPG cargo from Texas reaching New Mangalore Port.
Last week, Indian-flagged tanker Jag Laadki docked at Mundra Port in Gujarat, while LPG carriers MT Shivalik and MT Nanda Devi had successfully transited Hormuz earlier.
Authorities have confirmed that there is no congestion at Indian ports, and all Indian vessels and sailors in the Gulf region are safe. To ease logistics, New Mangalore Port has waived cargo-related charges for crude and LPG shipments during March.