Russia's Market Strategy on Indian Oil Supply - Business

India 's energy policy and Russian oil Supply

India 's Oil Minister , Hardeep Singh Puri , Affirmed that India will continue to bargain oil and gas at the last possible monetary_value , lodge to its energy policy . India heavily trust on import to screen over 85 % of its petroleum consumption , with a growth demand that is in line with the state 's economic growth and refinery expansion plan . The state has emerge as a significant buyer of Russian oil over the past two old_age , become the large importer of Russian petroleum oil in July , excel even China.

 A record 44 % of India 's sum import in July come from Russia , with import hit a record 2.07 million barrels per day . Indian refiner are now look to sign hanker - term supply deal with Russia , quest predictable and stable oil supply as the state expand its refining capacity.

Russian oil cargo to India and Insurance

Russia's Market Strategy on Indian Oil Supply

Russian corporation have increase insurance on oil cargo to India to 60 % , let them to sell oil at monetary_value higher than the US0 monetary_value cap enforce by G7 state . This move enable Moscow to exceed the set monetary_value limit and continue selling oil to India . Over 60 % of Russia 's offshore oil supply go to India , with Western services restrict to Russian cargo sell within the monetary_value limit.

 The use of Russian insurance_company has enable Moscow to sell oil for More than US0 per barrel to India , despite the restriction enforce by G7 state to curb Russia 's oil revenues.

impact of Western insurance on Russian oil Supply

India has approve multiple Russian insurance company to supply nautical transportation insurance , let for the continuance of oil cargo from Russia . Russian insurance business are mostly use by oil carrier with strong necktie to Russia , while Western insurance_company have become loath to screen Russian oil supply due to concern about transgress the G7 monetary_value cap . The findings propose that transportation company from Greece , the United Arab Emirates , and China are more tend to conveyance Russian oil with Western insurance.

 After the EU embargo on Russian oil in 2022 , India has become the primary market for Russian oil , excel China as the large consumer.

Russia 's strategic use of insurance and pricing mechanism has enable the state to keep its oil supply to India , despite International limitations.