India, the world’s third-largest oil consumer and importer, has significantly increased its crude oil imports from Russia since the onset of the Ukraine war in February 2022. According to a report by the Centre for Research on Energy and Clean Air (CREA), India has spent approximately €112.5 billion (about ₹1.5 lakh crore) on Russian crude oil during this period.
Traditionally, India sourced its oil primarily from the Middle East. However, following the Ukraine invasion, Russian oil became available at substantial discounts due to Western sanctions and reduced purchases by some European nations. This led to a dramatic rise in India’s imports of Russian oil, increasing from less than 1% to about 40% of its total crude oil imports in a short span.
Some Indian refineries have processed Russian crude into fuels like petrol and diesel, which were subsequently exported to Europe and other G7 countries. However, recent U.S. sanctions have caused a decline in these imports, as India avoids cargoes on sanctioned ships or insured by banned entities. Despite this, Russia remains India’s top oil supplier, with imports averaging 1.48 million barrels per day in February 2025, down from 1.67 million barrels per day in the previous month.
India’s strategic shift to importing discounted Russian crude oil has significantly altered its traditional sourcing patterns, reflecting the broader geopolitical and economic shifts resulting from the Ukraine conflict.