India’s crude oil imports have stabilised in June 2026, crossing 5 million barrels per day, with Russia supplying a record 2.7 mbd—over half of India’s total intake—while Gulf flows slowly recover after the Strait of Hormuz disruption.

This surge reflects discounted Russian barrels, subdued Chinese demand, and refinery adjustments, ensuring India’s energy security despite lingering West Asian volatility.

India’s crude oil imports returned to normalcy in June after months of disruption caused by the Iran war and the closure of the Strait of Hormuz. According to Kpler, imports averaged slightly above 5 million barrels per day, higher than the 4.9 mbd average between April 2025 and February 2026. Oil ministry data broadly confirmed this figure, pegging the average at 5 mbd.

The outbreak of the Iran war on 28 February had sharply reduced India’s imports, which fell 14 per cent to 4.5 mbd in March from 5.2 mbd in February. By May, imports had recovered to 4.96 mbd, with government data placing supplies at 5 mbd. The rebound in June marks a significant milestone in stabilising India’s energy flows.

Russia has emerged as the dominant supplier, providing 2.7 mbd so far in June, accounting for 54 per cent of India’s crude imports. Analysts explained that Ukrainian strikes on Russian refinery infrastructure, combined with weaker Chinese demand, freed up more Russian barrels for India. This has resulted in the highest-ever Russian crude imports into the country.

Rosneft-backed Nayara Energy’s refinery in Gujarat, which relies almost entirely on Russian crude, completed its maintenance shutdown during the month. This reopening further boosted Russian supplies to India, strengthening Moscow’s position as India’s largest energy partner.

The supply squeeze in March had forced Indian refiners to double their Russian intake to 2 mbd after the United States temporarily waived sanctions to stabilise global oil prices.

Sanctioned Russian cargoes already floating at sea, including in the Indian Ocean, were redirected to India, ensuring continuity of supplies. Simultaneously, refiners intensified their search for alternative barrels worldwide.

Angola, a relatively small producer, supplied 334,000 barrels per day in March, briefly becoming India’s third-largest supplier. Brazil, Iran, and Venezuela also stepped in to cushion the impact of disrupted Gulf flows. Venezuela has since consolidated its role, emerging as India’s fourth-largest supplier in June with shipments of 292,000 bpd, representing 6 per cent of total imports.

The United Arab Emirates has remained a near-record supplier, averaging 6,36,000 bpd in June, only slightly below May’s peak of 6,44,000 bpd. Saudi Arabia contributed 3,84,000 bpd, while US shipments fell sharply to 91,000 bpd from 2,52,000 bpd in May. These figures highlight India’s diversification strategy, balancing discounted Russian barrels with Gulf and Latin American supplies.

The reopening of the Strait of Hormuz following a fragile ceasefire between the US and Iran has begun restoring Gulf flows. However, concerns remain over the durability of the truce, with Iranian authorities accusing Israel of violations.

Gulf producers are expected to continue using bypass routes such as the UAE’s Habshan-Fujairah pipeline to reduce reliance on Hormuz.

India’s position as the world’s third-largest energy importer underscores the importance of securing diversified supplies. Russian crude remains attractive due to discounts of $4–5 per barrel compared to Brent, which closed at $80.57 per barrel on 20 June. This pricing advantage has helped Indian refiners manage costs and stabilise domestic fuel prices despite global volatility.

The government has also maintained high stock levels at strategic petroleum reserves, ensuring resilience against renewed disruptions. Analysts believe India’s aggressive procurement strategy reflects a pragmatic approach to energy security, combining discounted Russian barrels with reliable Gulf and Latin American flows.

Agencies