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India's Oil Comeback: How Refiners Navigated the Strait of Hormuz Crisis

After a sharp decline triggered by the Iran conflict and disruptions in the Strait of Hormuz, India's crude oil imports have rebounded above 5 million barrels per day, aided by higher Russian supplies and diversified sourcing

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Summary
  • India's crude oil imports crossed 5 million barrels per day in June, returning to pre-crisis levels after disruptions caused by the Iran conflict and the Strait of Hormuz closure.

  • Indian refiners increased purchases of Russian crude, with imports reaching nearly 2 million barrels per day, supported by easing sanctions and stronger demand from Nayara Energy.

  • Supplies from Angola, Venezuela, the UAE and other producers helped refiners navigate logistical challenges and reduce dependence on traditional shipping routes.

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India's crude oil imports have returned to normal levels in June, recovering from the disruption caused by the closure of the Strait of Hormuz during the Iran conflict, The Economic Times reported.

Shipments crossed the 5 million barrels per day (mbd) mark during the month, indicating that refiners have largely overcome the logistical challenges that rattled global energy markets earlier this year, the report said.

According to energy cargo tracking firm Kpler, India's crude imports averaged more than 5 mbd in June, slightly above the 4.9 mbd average recorded between April 2025 and February 2026. Oil Ministry data also pegged June imports at around 5 mbd.

Since the onset of the Iran-US war, which began on February 28, global energy flows has been severely disrupted. India's crude imports fell by nearly 14% in March, declining to 4.5 mbd from 5.2 mbd in February, Kpler data showed.

However, supplies gradually stabilised in the following months, with imports rising to 4.96 mbd in May. Government figures placed May imports at 5 mbd, suggesting a near-complete recovery even before June.

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A key factor behind the rebound was the sharp increase in Russian crude purchases. Indian refiners doubled imports from Russia to nearly 2 mbd in March after the US temporarily eased sanctions to help stabilise global oil markets.

The transition was aided by Russian cargoes that were already at sea and available for quick diversion to Indian buyers.

Russian shipments received an additional boost in June after Rosneft-backed Nayara Energy completed maintenance at its Gujarat refinery. Industry executives said the refinery relies predominantly on Russian crude, increasing demand for supplies from Moscow.

At the same time, Indian refiners diversified sourcing to offset disruptions in traditional trade routes. Countries such as Angola, Brazil, Iran and Venezuela emerged as important suppliers during the crisis.

Angola supplied around 334,000 barrels per day in March, briefly becoming India's third-largest crude supplier.

Venezuela also gained prominence, ranking as India's fourth-largest supplier in June with imports of 292,000 barrels per day, accounting for nearly 6% of total crude purchases.

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Meanwhile, the UAE became India's second-largest supplier in June, delivering 573,000 barrels per day after exporters shifted loading operations to Fujairah to avoid Hormuz-related disruptions.

Saudi Arabia supplied 358,000 barrels per day, though its shipments declined in May and June as alternative crude grades became more competitively priced.

Overall, India's ability to diversify suppliers and increase Russian imports helped cushion the impact of one of the biggest disruptions to global oil trade in recent years.