India shows no sign of slowing its purchase of Russian oil

India shows no sign of slowing its purchase of Russian oil

New Delhi (CNN Business) – India’s appetite for cheap Russian oil is swelling, even as the West continues to hit Moscow with unprecedented sanctions.

Russian Crude flows to India are expected to reach 3.36 million metric tonnes in May, according to estimates from Refinitiv. This is nearly 9 times higher than the 2021 monthly average of 382,500 metric tonnes.

Overall, the country has received 4.8 million metric tonnes of discounted Russian oil since the Ukraine war started, Refinitiv added. Urals oil from Russia currently trades at about $95 a barrel, while the global benchmark Brent crude is above $119 a barrel.

Part of the reason for the price disparity: The West has shunned Russian oil. On Monday, the EU agreed to ban 90% of Russian oil imports by the end of the year. Europe is the biggest buyer of Russian energy.

The United States, Canada, United Kingdom and Australia have already banned imports.

The embargo from a huge importer like Europe would pile pressure on the Russian economy, but Moscow has found other buyers in Asia.

India, which imports 80% of its oil, usually buys only about 2% to 3% from Russia. But with oil prices shooting up this year, the government has steadily increased its