India’s crude oil imports slip in November

India’s crude oil imports fell in November, as the world’s third-biggestoil importer and consumer saw slightly softer demand, Petroleum Planning and Analysis Cell (PPAC) data showed on Friday.

Crude imports in November fell 2.3% year-on-year to 18.57 million metric tons, the data showed. Imports were down 0.9% from the previous month.

India’s fuel consumption in November fell after hitting a four-month peak in October, with demand hit by reduced travel as a festive boost fizzled out.

Data from the PPAC website also showed product imports dropping 6.3% in November, while product exports rose 26% on a monthly basis.

However, product imports rose 2.7% to 4.15 million tons from November last year and product exports increased 32% over the same period to 5.64 million tons.

“The fuel export rise is likely driven the ban of waterborne imports of Russian oil in G7/EU countries. These countries need to source oil products from other places. As result, European imports of Indian refined products has increased over the last twelve months,” said UBS analyst Giovanni Staunovo.

The EU has introduced bans on sea-borne crude oil and oil product imports from Russia over the conflict in Ukraine. However, the bans do not apply to shipments sent via the Druzhba pipeline.

Almost all of Russia’s oil exports this year have been shipped to China and India, Deputy Prime Minister Alexander Novak said on Wednesday, after Moscow responded to Western economic sanctions by quickly rerouting supplies away from Europe.

India’s Russian oil imports in November rose to a four-month high, making up about 36% of the nation’s overall imports last month, data obtained from trade sources showed.

Increased Indian imports of Russian oil have also dragged down the share of oil from the member nations of the Organization of Petroleum Exporting Countries in April-November to 48% from about 62% in the same period last year, the data showed.
Source: Reuters (Reporting by Anjana Anil, Hissay Ongmu Bhutia, and Ashitha Shivaprasad in Bengaluru; editing by Jason Neely and Sharon Singleton)