• 3 minutes Cyberattack Forces Shutdown Of Largest Gasoline Pipeline In United States - Zero Hedge
  • 6 minutes Renewable Energy Capacity Jumped 45% Worldwide In 2020; IEA Sees 'New Normal'
  • 11 minutes Forecasts for Natural Gas
  • 36 mins U.S. Presidential Elections Status - Electoral Votes
  • 3 hours Electric vehicle market growth is a blessing for some metals — and not a big worry for oil
  • 58 mins GREEN NEW DEAL = BLIZZARD OF LIES
  • 50 mins .
  • 3 hours Is the Republican Party going to perpetuate lies about the 2020 election and attempt to whitewash what happened on January 6th?
  • 1 day CRAPPIFORNIA DOES IT AGAIN! California proposes to steer new homes from gas appliances
  • 1 day Сryptocurrency predictions
  • 1 day Joe Biden's Presidency
Tsvetana Paraskova

Tsvetana Paraskova

Tsvetana is a writer for Oilprice.com with over a decade of experience writing for news outlets such as iNVEZZ and SeeNews. 

More Info

Premium Content

India’s Oil Imports From OPEC Slump To 20-Year Low

The share of India’s oil imports from OPEC dropped to their lowest in at least 20 years in the fiscal year ended March 2021 as the world’s third-largest oil importer saw total imports drop and sought to diversify its oil suppliers, according to industry and trade obtained by Reuters.

In the 2020/2021 fiscal year, India’s overall oil imports fell by nearly 12 percent compared to the previous fiscal year and averaged around 3.97 million barrels per day (bpd), according to the trade and industry data cited by Reuters.

Of all those imports, the share of OPEC slumped to 72 percent from 80 percent in the 2019/2020 fiscal year—the lowest share of crude oil imports from OPEC since at least 2000/2001.

The lower overall crude oil imports between April 2020 and March 2021 are not surprising, considering the reduced demand for fuel and lower refinery runs in India—and everywhere in the world—at the onset of the COVID-19 pandemic in the spring of last year.

India’s oil demand is estimated to have declined in 2020 for the first time in more than 20 years due to the pandemic.

According to the data from the Petroleum Planning & Analysis Cell (PPAC), India spent US$61.9 billion on crude oil imports in April 2020-March 2021, down from US$101.4 billion in 2019/2020.

While some of the lower import bill was due to the lower imported volumes, most of the drastic decline in India’s spending on crude was because of the ultra-low oil prices in the spring of 2020. Back then, India—and the other major importer in Asia, China—embarked on a buying spree to stock up on low-priced crude.

As oil prices rallied in recent months, India expressed its frustration with the OPEC+ decisions to keep markets tight, calling out OPEC+ for its “artificial cuts to keep the price going up.”

India’s sensitivity to high oil prices resulted in the government asking Indian state refiners to aggressively diversify oil imports away from the Middle East and its oil kingpin Saudi Arabia.

In February 2021, India boosted significantly crude oil imports from the United States. Meanwhile, it slashed purchases from the world’s top oil exporter, Saudi Arabia, to the point of America overtaking the Saudis as India’s second-largest oil supplier. 

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment
  • Mamdouh Salameh on May 03 2021 said:
    It makes not an iota of difference if India reduces its imports from OPEC. It will still have to buy its needs somewhere else so the global oil demand and prices aren’t affected. Furthermore, OPEC can sell its oil in the Asia-Pacific region, the EU and other parts of the world. So this isn’t a big issue.

    India should learn one thing. It can’t dictate what prices OPEC sells its crudes. If it isn’t happy with OPEC’s prices, it can go and buy oil somewhere else.

    India was happy to buy OPEC oil when prices were dirt cheap during the pandemic and when OPEC members whose livelihood depends on the oil revenue were suffering. So it shouldn’t have the temerity to complain when oil prices rise.

    Dr Mamdouh G Salameh
    International Oil Economist
    Visiting Professor of Energy Economics at ESCP Europe Business School, London

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News