Russia has quickly become India’s biggest source of crude oil, changing the way the country buys its energy. But even with Moscow’s growing role, India still depends heavily on Middle Eastern suppliers like Iraq, Saudi Arabia, and the United Arab Emirates.

A few years ago, Russia sold India only small amounts of oil. That changed after Russia began offering big discounts in 2022, making its crude much cheaper than others on the market. Today, Russia supplies more than a third of India’s oil imports, overtaking Iraq and Saudi Arabia.

Middle East Still Matters

Even though Russia has surged ahead, countries in the Middle East continue to play a strong role. Iraq and Saudi Arabia have only seen slight drops in their sales to India, while the UAE has actually increased its oil supplies. Their closeness to India and long-standing trade links make them dependable partners.

Other Countries Lose Out

The biggest declines have come from suppliers farther away. The United States, Nigeria, Kuwait, Oman, and Mexico have all seen sharp falls in exports to India.

Discounts Drive the Trend

Indian refiners have turned to Russia mainly because of the price advantage. At one point, Russian oil was sold at discounts of up to $40 a barrel compared to global rates. While those discounts have now narrowed, Russian crude is still cheaper, keeping it attractive.

India Balances Politics and Prices

India has faced criticism from Western nations for buying so much Russian oil. But Indian officials argue that the country’s choices are based on economics and energy security. At the same time, New Delhi is keeping its Middle Eastern partners close to ensure a steady and balanced supply.

Outlook

Russia may have reshaped India’s oil import map, but the Middle East remains a cornerstone of India’s energy strategy. Going forward, India is expected to keep balancing between affordable Russian oil and reliable supplies from its traditional partners.