New Delhi: India will continue purchasing Russian crude oil irrespective of whether the United States (US) grants waivers, a senior petroleum ministry official said on Monday, signalling that New Delhi's energy procurement strategy remains insulated from American policy shifts on Russia.
"Regarding the American waiver on Russia, I would like to emphasise that we have been purchasing from Russia earlier... before waiver also, during waiver also, and now also," Sujata Sharma, Joint Secretary in the petroleum ministry, told reporters at an inter-ministerial media briefing.
Follow The PSUWatch Channel on WhatsApp
Sharma made clear that commercial logic, not geopolitical accommodation, drives India's crude sourcing decisions. "It is basically the commercial sense which should be there for us to purchase," she said, adding that there was no shortage of crude supplies and that adequate volumes had been secured through long-term arrangements. "Whatever waiver or no waiver, it will not affect," she said.
The remarks came after a temporary US sanctions waiver, which had permitted the sale and delivery of Russian seaborne crude, expired on May 16. This was the second time Washington allowed the relief measure to lapse without offering clarity on an extension. The general licence was originally issued by the US Treasury Department in mid-March, extended once in April, and was designed to ease pressure on global energy markets following the US-Israeli war against Iran, which triggered what has been described as the largest-ever oil supply disruption.
Russia's rise to become the dominant supplier in India's import basket dates to 2022, when Moscow's invasion of Ukraine prompted sweeping western sanctions and cut off Russia's traditional export markets in Europe and the United States. India, the world's third-largest crude importer and consumer, sharply scaled up purchases of Russian oil to capitalise on steep discounts, helping domestic refiners manage elevated global energy costs.
Crucially, Russian oil itself was never placed on the sanctions list, only specific Russian entities, including major crude suppliers Rosneft and Lukoil, along with certain vessels and financial channels, were targeted. This distinction allowed India to continue procuring Russian crude while ensuring strict compliance: no involvement of sanctioned sellers or intermediaries, use of non-sanctioned vessels, and fully compliant financial, insurance, and trading channels. A brief moderation in purchases followed the tightening of entity-level sanctions, but the subsequent waivers prompted Indian refiners to step up volumes once again.
Russian oil imports into India are expected to average close to 1.9 million barrels per day in May, near record levels, according to data from commodity tracking firm Kpler. The figures include shipments covered under the sanctions waiver that has since expired.
Brent crude prices remain more than 50 percent above pre-war levels, reinforcing India's incentive to lock in cheaper Russian supply amid continued global market volatility.
Follow PSU Watch on LinkedIN
Analysts said India is unlikely to make any structural shift away from Russian crude in the near term. The more probable outcome is tighter documentation and more rigorous screening of procurement channels rather than any meaningful change in sourcing patterns — a continuation of the compliance-first approach India has maintained since sanctions were first imposed in 2022.
(PSU Watch– India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy is now on Google News. Click here to follow. Also, join PSU Watch Channel in your Telegram. You may also follow us on Twitter here and stay updated.)