Bloomberg: India Expects Decline in Russian Oil Imports as Sanctions Enforcement Tightens

Indian officials expect imports of Russian oil to fall to about 800,000 barrels per day in December as inspections are tightened to ensure compliance with Western sanctions, Bloomberg reported, citing unnamed officials.

In recent weeks, authorities have stepped up controls at ports on so-called shadow fleet vessels used by Russia to circumvent sanctions, as well as scrutiny of bank payments. Tankers linked to the shadow fleet are now required to provide certificates of origin, flag registration details, and other documentation.

All Indian refineries have reduced imports from Russia except Nayara Energy Ltd., which is backed by the sanctioned Russian oil major Rosneft, the officials said. Nayara has increased volumes because European Union sanctions have made it more dependent on Moscow for crude supplies.

In November, India imported about 1.9 million barrels per day of Russian oil. Data from Kpler showed last week that supplies could fall to around 1.3 million barrels per day in December.

• On November 12, President Volodymyr Zelenskyy said that Russia in 2025 may lose at least $37 billion of oil and gas revenues due to sanctions and Ukrainian long-range strikes.
• US sanctions against Lukoil and Rosneft, which came into effect on November 21 collapsed the price of Russian oil Urals for India (its largest importer) and sharply increased rates for supertanker freight on key routes.
• on December 1, Bloomberg reported that Indian state-owned refineries continue to buy Russian oil through discounts.