• The crisis in Venezuela is unlikely to significantly impact Indian companies’ trade or credit quality due to India’s very limited trade exposure to the country.
• Developments surrounding Venezuelan oil are not expected to influence global crude oil prices in the near term.
• On January 3, the US carried out a major military operation in Caracas, capturing President Nicolás Maduro and his wife Cilia Flores on charges including narco-terrorism and drug trafficking.
•  India’s direct trade with Venezuela is minimal, reducing potential economic spillovers from the crisis.
•  Crude oil is India’s primary import from Venezuela but accounts for only about 1% of India’s total crude oil imports.
• Crude oil and related products made up over 90% of India’s imports from Venezuela, valued at around ₹14,000 crore in FY25.
• India’s exports to Venezuela were below ₹2,000 crore in FY25, less than 0.1% of total exports.
• Exported goods include pharmaceuticals, ceramics, textiles, and two-wheelers.
• Pharmaceutical exports were the largest component at about ₹900 crore, still less than 0.5% of India’s total pharma exports.
• Oil prices remain crucial for India as the country imports nearly 85% of its crude oil needs, making it sensitive to global price movements.
• Brent crude prices have stayed largely stable, trading slightly above $60 per barrel in recent days.
• Even if tensions disrupt Venezuelan oil production, its small share of global crude supply (around 1.5%) limits the risk of sustained global price volatility.
• Protests have intensified within Venezuela following US actions, with Delcy Rodríguez sworn in as interim president.
• US authorities have indicated plans to control and sell Venezuelan oil at market prices, potentially involving 30-50 million barrels of sanctioned crude.