'World is grateful': India keeps oil prices cheaper by buying from Russia, Indian oil minister says

'World is grateful': India keeps oil prices cheaper by buying from Russia, Indian oil minister says

Hardeep Singh Puri, India’s minister of Petroleum and Natural Gas, on the ADIPEC convention in Abu Dhabi, United Arab Emirates, on Tuesday, Oct. 3, 2023.

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India keeps international crude prices reasonably priced by buying oil from Russia, India’s vitality minister stated.

“The world is grateful to India for buying Russian oil. It’s not that they do not need us to purchase Russian oil,” India’s Minister of Petroleum and Natural Gas Hardeep Singh Puri informed CNBC’s Sri Jegarajah on the sidelines of the India Energy Week convention in Goa.

“If we begin buying extra of the Middle Eastern oil, the oil value is not going to be at $75 or $76. It can be $150,” he added.

Since Russia’s invasion of Ukraine in February 2022, India’s refiners have been snapping up discounted Russian oil.

Moscow has since grow to be India’s main supply of crude oil, accounting for about 36% of the South Asian nation’s crude imports.

Consequently, India’s imports of Middle Eastern oil fell to a record low.

Oil prices have been below strain regardless of rising tensions within the Red Sea and fears of a widening battle within the Middle East. Such uncertainty would sometimes push vitality prices larger however beneficial properties have been restricted amid record output from the U.S., and an ongoing international financial slowdown.

The Indian minister stated he was not “unduly fearful” about whether or not there can be a spike in prices because of an absence of availability or affordability of the oil.

“The truth of the matter is half the work is in recession,” he stated, including that larger oil prices will invariably find yourself turning into a “self fulfilling prophecy” the place larger prices will curtail demand.

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