Report: Indian state companies want to buy more Russian oil

MOSCOW, Apr 20 (PRIME) -- The Indian state companies plan to buy as much Russian oil as possible by changing the purchasing strategy from auctions to negotiated deals, local business daily The Economic Times reported late on Tuesday quoting sources familiar with the matter.

The Indian refineries expect affordability of Russian oil to rise soon, as the situation in Ukraine is unlikely to reach a solution soon, and the Russian oil is going to face new restrictions in Europe.

India’s state-controlled refineries have bought more than 15 million barrels of the Russian oil from traders and Russian companies since the beginning of the military operation in Ukraine, paying for it with U.S. dollars through the usual banking channels, the business daily reported.

Russian oil imports account only for less than 1% of India’s total imports even taking into account the recent increase as the cost of transportation is very high. The Indian companies only buy Russian oil if the cost of transportation is included in the price to avoid risks, The Economic Times reported.

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