Russia dethrones Iraq to become the largest supplier of crude oil to India in October month

Tags: Economy/Finance

According to the energy cargo tracker Vortexa, Russia has become the largest supplier of crude oil to India in the month of October 2022 replacing Iraq.  During the month of October 2022 Russia has supplied 935,556 barrels per day (bpd) of crude oil to India.

One barrel of crude oil is equal to 159 litres of oil.

Russia now supplies almost 22% of India's total crude imports, ahead of Iraq's 20.5 per cent and Saudi Arabia's 16 per cent.

India is the third largest importer of crude oil in the world after China and the United States.

India is the third largest consumer of crude oil after the United States and China.

Reason for Increase in Russian oil imports 

Traditionally Iraq, Saudi Arabia, UAE have been a major supplier of oil to India.

However due to the Russian invasion of Ukraine in February 2022  western countries imposed sanctions on Russia  leading to a sharp increase in international crude oil prices .

India which meets around 83% of its oil requirement from import had to pay a steep price for oil and it also increased inflation in India.

Russia offered its oil to India at a much discounted rates which India happily bought and India has now become the second largest buyer of Russian crude oil after China.