India has maintained its purchase of Russian oil independent of United States sanctions waivers, according to Sujata Sharma, joint secretary in the petroleum ministry, who spoke at a media briefing on Monday. As reported by Reuters, Sharma emphasized that India has been sourcing oil from Russia before the waiver period, during it, and continues to do so now. The official stated that "regarding (the) American waiver on Russia, I would like to emphasize that we have been purchasing from Russia earlier ... I mean before waiver also, during waiver also, and now also." Sharma added that "It is basically the commercial sense which should be there for us to purchase" and noted that India faces no crude oil shortage, with adequate supplies secured. According to Reuters, the government official confirmed that India will continue to import Russian oil with commercial viability and energy security being the primary considerations. As reported by Reuters, Sharma stated that "There is no shortage of crude. Enough crude has been tied up repeatedly and this, whatever waiver or no waiver, it will not affect."
The statement comes after the US allowed a waiver covering some Russian crude purchases to expire over the weekend. The waiver had permitted transactions involving Russian oil cargoes already loaded on tankers. As reported by Reuters, India had reportedly requested the United States to continue its waiver allowing imports of Russian crude, as disruptions in the Strait of Hormuz have now persisted for nearly 75 days, putting pressure on global oil supplies. The current waiver had expired on May 16. According to Reuters, there is no word yet from Washington on whether the waiver will be extended further, though in April, the waiver had expired but the US then extended after a few days, that too after first claiming it wouldn't be extended. As reported by Reuters, Sharma noted that "Don't lie, America allowed u to by Russian oil We don't care....for any sanction s..we are habituated to it."
According to Reuters, Sharma stressed that India's oil purchases are guided primarily by commercial considerations and economic viability. She noted that the country has secured adequate crude supplies and there is no shortage of oil availability. The joint secretary's comments reflect India's strategic approach to maintaining energy security while navigating international sanctions frameworks. Oil minister Hardeep Singh Puri has said India has around 60 days of crude oil and LNG reserves and about 45 days of LPG stockpiles. As reported by Reuters, with global oil supplies hit due to the effective halt in vessel movements through the Strait of Hormuz, such waivers were aimed at allowing more barrels of oil to reach the international market and exerting downward pressure on spiralling oil prices. Brent crude was trading higher by 0.93 per cent at USD 110.28 per barrel, while US West Texas Intermediate (WTI) rose 0.85 per cent to USD 106.32 per barrel, reflecting ongoing volatility in global oil markets amid tensions in West Asia.
Indian refiners are expected to manage any supply disruption because of weaker domestic demand and the availability of prompt crude cargoes from the US, the United Arab Emirates, Oman and Iraq. According to Bloomberg, Russian crude held in floating storage has risen to more than 7 million barrels globally, up fivefold from a month ago, partly because refinery maintenance in India slowed processing demand. Kpler data cited by Bloomberg showed India's Russian oil imports in May are expected to remain near 1.9 million barrels per day, close to peak levels. As reported by Bloomberg, traders noted that China's limited participation in the spot market has also helped preserve supply availability. With around 2.5–2.7 million barrels per day of India's crude imports—accounting for around half of the country's total oil imports—transiting the Strait of Hormuz in recent months, the longer-term average is around 40%, most of that supply is effectively offline due to the war.
Despite maintaining Russian oil purchases, the government faces significant financial challenges from state fuel retailers. The petroleum ministry has disclosed that state fuel retailers are experiencing daily revenue losses of approximately ₹7.5 billion on fuel sales. According to Investing.com, the government has no plans to provide financial support to state refiners despite these substantial losses. This financial strain highlights the broader economic implications of India's continued Russian oil procurement strategy. As reported by Reuters, while government officials maintained that India didn't require a US waiver to buy Russian oil, industry experts said that the waiver indeed helped, enabling Indian refiners to take deliveries of Russian oil even on tankers sanctioned by the US and deal directly with sanctioned Russian companies like Rosneft and Lukoil. The government had recently increased petrol and diesel prices by ₹3 per litre amid mounting pressure on state-run oil marketing companies due to rising global crude costs.
