As global tensions threaten existing energy ties, India has reiterated its preparedness to secure oil supplies, even if Western sanctions were to directly hit Russian crude exports.

Speaking on the sidelines of an industry event, Union Petroleum Minister Hardeep Singh Puri said:

“India will not face any shortage. There are multiple oil-producing nations ready to step up, and the market is becoming more diversified by the day.”

Diversification: The Key to Energy Security

Puri emphasized that India has already diversified its energy basket, and is not overly dependent on any single country — including Russia. Since the Ukraine war, India has been a major buyer of discounted Russian crude, but its flexible import strategy gives it leverage.

New players like Guyana, which has recently begun large-scale offshore oil production, and existing exporters like Brazil and Canada, have the capacity to fill any potential gap if Russian flows stop, Puri noted.

India, the world's third-largest oil importer, continues to scout for long-term crude contracts that are price-competitive and politically sustainable.

India's Russian Oil Strategy So Far

India ramped up its Russian oil intake after the Ukraine war began in 2022, taking advantage of steep discounts. Russian crude made up over 35% of India’s total oil imports in early 2024, up from less than 2% in 2021.

But with increasing Western pressure to reduce ties with Moscow, India has been quietly diversifying its import portfolio, turning to:

• Middle East suppliers like UAE, Saudi Arabia, and Iraq

• Latin American producers like Brazil, Colombia, and Guyana

• North American partners, particularly Canada and the U.S.

• African exporters such as Nigeria and Angola

Market Dynamics: Russia’s Influence May Decline

Industry analysts believe that while Russian oil has been cost-effective, the risk of secondary sanctions or geopolitical fallout is prompting India to look ahead.

Anjali Verma, an oil analyst at EnergyX India, said:

“India's policy has always been pragmatic. If Russian barrels dry up, India will tap others. Guyana alone plans to double output in 2026, and Brazil is ramping up deepwater production.”

No Need to Panic, Says the Government

India currently imports nearly 85% of its oil needs, and any sudden disruption has serious implications. However, Puri assured that there is no panic.

“India has robust strategic reserves and long-term contracts. We’ve faced tougher challenges before and always adapted,” he said.

He also stressed India’s role in voicing consumer country concerns at global forums, ensuring that oil-producing nations understand the impact of pricing and availability on economies like India.

India’s Long-Term Oil Strategy

India’s oil roadmap for the next decade includes:

• Building strategic petroleum reserves (SPR) to last 30 days or more

• Encouraging domestic oil exploration and production under OALP & HELP

• Promoting biofuels, green hydrogen, and electric mobility to reduce dependency

• Deepening ties with energy-exporting nations through bilateral pacts

Conclusion

Even amid uncertainty over Russian oil sanctions, India’s energy ministry remains optimistic. By leveraging a global network of oil suppliers — including new entrants like Guyana — and improving its own strategic autonomy, India appears well-positioned to weather any upcoming turbulence in global energy markets.

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