Indian Refiners Halt Russian Oil Purchases Amid Trade Pact Talks
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 08 2026
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Source: Newsfilter
- Purchasing Strategy Shift: Indian refiners, including Indian Oil, Bharat Petroleum, and Reliance Industries, are avoiding Russian oil purchases for April, a move that could facilitate New Delhi's trade pact with Washington aimed at lowering tariffs and enhancing economic cooperation.
- Significant Import Decline: India's Russian oil imports are expected to drop below 1 million barrels per day by March, potentially falling to 500,000-600,000 barrels per day, compared to an average of 1.7 million barrels per day last year, indicating a strategic shift in procurement amid evolving international dynamics.
- Market Response: Despite becoming the top buyer of discounted Russian seaborne crude in 2022, Indian refiners are increasingly sourcing oil from Middle Eastern, African, and South American countries to reduce reliance on Russian imports due to Western sanctions.
- Policy Monitoring: President Trump has rescinded the 25% tariffs on Indian goods contingent on India's commitment to halt direct or indirect imports of Russian oil, reflecting the U.S. administration's close monitoring of India's energy procurement policies.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
