India’s crude oil imports from West Asia returned to pre-war levels in September 2026, while purchases of Russian oil declined as refiners increased buying from Middle Eastern suppliers. According to ship-tracking data cited by Reuters on October 22, India imported approximately 2.8 million barrels per day (bpd) of Middle Eastern crude, accounting for 54% of its total imports. Russian crude purchases fell around 14% month-on-month to approximately 1.8 million bpd.
The shift reflects improving crude availability from the Gulf, changing prices and greater competition for Russian oil. The conflict involving Iran had disrupted traditional supply routes earlier in the year, prompting Indian refiners to increase their reliance on Russian crude. As Middle Eastern supplies recovered and the economics of Russian purchases changed, refiners began adjusting their sourcing strategies again. Although Russia remained India’s largest individual crude supplier in September, its share of India’s total imports declined significantly.
Key Takeaways
- West Asian supplies recovered: Middle Eastern crude imports reached approximately 2.8 million bpd in September, returning to levels last seen before the conflict.
- Russian imports declined: Purchases fell around 14% month-on-month to approximately 1.8 million bpd.
- Gulf oil gained market share: Middle Eastern crude accounted for about 54% of India’s total oil imports, compared with 32% in August.
- India imported more oil overall: Total crude imports increased approximately 20% month-on-month to 5.33 million bpd.
- Iraq emerged as a major contributor: Iraqi crude shipments rose sharply, helping offset lower Russian purchases.
- Price competition is intensifying: Narrower Russian discounts, shorter shipping times from the Gulf and improved regional availability are influencing refiners’ decisions.
Why India’s West Asia Oil Imports Have Recovered
India depends heavily on imported crude oil to supply its refineries, transport sector and industrial economy. Before the West Asia conflict disrupted regional supplies in March 2026, Middle Eastern producers were important sources of crude for Indian refiners.
The disruption made some traditional supplies harder to obtain and increased uncertainty around shipping routes. Indian refiners responded by purchasing more Russian crude, which had become an important component of India’s import mix following Western sanctions on Moscow after its invasion of Ukraine in 2022.
September’s recovery indicates that refiners have been able to restore a larger share of their Gulf purchases. Improved availability from Iraq, Saudi Arabia and other regional suppliers helped support the rebound.
Reuters reported that Middle Eastern crude imports reached approximately 2.8 million bpd in September, the highest monthly level since February. The increase coincided with improving crude movements through the Strait of Hormuz, a critical passage for global energy shipments.
The recovery does not mean all supply risks have disappeared. Shipping costs, regional security and the reliability of transit routes continue to influence purchasing decisions.
Russian Crude Imports Fall as Refiners Change Suppliers
Russian crude imports declined as Middle Eastern supplies became more competitive. Reuters reported that India’s purchases of Russian oil fell around 14% in September compared with August, reaching approximately 1.8 million bpd.
The change reflects several factors rather than a single policy decision.
Narrower price discounts
Russian crude attracted Indian buyers partly because it was available at substantial discounts to international benchmarks. Those discounts helped refiners offset the cost of transporting oil over long distances and made Russian barrels economically attractive.
However, Reuters reported that the landed price of Russian crude had moved to around $1–$2 per barrel above Brent in the cited market comparison, compared with a premium exceeding $10 previously. The relative economics of Middle Eastern grades, particularly Iraqi crude, therefore became more attractive to some refiners.
The exact price advantage varies by crude grade, contract terms, freight costs, insurance and refinery requirements. A change in benchmark pricing alone does not determine which supplier is cheapest.
Competition from China
Indian refiners are also competing with Chinese buyers for Russian crude. When China purchases more Russian barrels, fewer cargoes may be available to Indian refiners at preferred prices or delivery times.
That competition can influence both availability and commercial terms, encouraging Indian companies to diversify their purchases when alternative grades are competitively priced.
Shipping and delivery advantages
Middle Eastern supplies can offer shorter voyages to Indian refineries than many Russian cargoes. Shorter journeys may reduce transportation time and some logistical expenses, although the actual cost depends on the route, vessel, insurance and prevailing freight market.
For refiners balancing margins, reliability and delivery schedules, these considerations can make Gulf crude attractive when sufficient supplies are available.
India’s September Crude Import Figures
The latest figures illustrate how India’s crude sourcing changed as Middle Eastern supply recovered.
| Indicator | September 2026 | Recent comparison | What it shows |
|---|---|---|---|
| Total crude imports | 5.33 million bpd | Up around 20% month-on-month | Higher overall crude purchases |
| Middle Eastern crude imports | 2.8 million bpd | Highest since February | Recovery in Gulf supplies |
| Middle Eastern share | 54% | 32% in August | Greater reliance on regional suppliers |
| Russian crude imports | Around 1.8 million bpd | Down around 14% month-on-month | Reduced Russian purchases |
| Iraqi crude imports | Around 830,000 bpd | Around 171,000 bpd in August | Strong increase in Iraqi supplies |
Figures are rounded and based on ship-tracking data reported by Reuters. Individual datasets and reporting dates may produce somewhat different estimates.
The figures show that India did not simply replace Russian crude barrel for barrel with Middle Eastern oil. Total imports increased as well, reflecting refinery demand, domestic fuel requirements and opportunities to process crude into products for export.
Russia remained the largest individual supplier in September, followed by the United Arab Emirates and Iraq, according to the reported data.
How the Strait of Hormuz Affects India’s Oil Supply
The Strait of Hormuz connects the Persian Gulf with the Gulf of Oman and the wider Arabian Sea. It is one of the world’s most important oil shipping chokepoints because substantial volumes of crude and other petroleum products pass through it.
Disruptions in the strait can affect oil availability, freight costs, delivery schedules and insurance premiums. For India, which imports most of the crude it consumes, problems along this route can quickly alter the economics of sourcing oil from the Gulf.
Regional producers and traders have used logistical arrangements, including ship-to-ship transfers and alternative export routes where available, to move cargoes during periods of disruption. Improved shipments through the region have helped Indian refiners rebuild purchases.
Nevertheless, a recovery in monthly imports should not be interpreted as proof that the route is entirely free of risk. Continued uncertainty could still affect future cargoes and prices.
What the Shift Means for India’s Energy Security
The changing import mix demonstrates the value of having multiple crude suppliers. When one region faces disruption or prices become less competitive, refiners can increase purchases from other markets, subject to the crude grades their facilities can process.
Diversification can reduce dependence on any single supplier, but it does not eliminate India’s exposure to global oil prices. Crude is traded in an interconnected international market, and disruptions in one region can affect prices and freight costs elsewhere.
The shift also matters for the country’s trade balance. India spends substantial amounts on imported energy, so changes in crude prices, transportation costs and the mix of suppliers can influence the import bill. Higher overall import volumes may increase spending even when refiners secure more competitive cargoes.
For policymakers, the challenge is to balance cost, supply reliability, diplomatic considerations and the long-term goal of reducing vulnerability to external energy shocks.
The Bigger Picture
India’s return to higher West Asian crude imports shows that energy sourcing is driven by a combination of geopolitics, availability and commercial calculations. Russian crude became particularly important when the conflict disrupted traditional supplies, but that advantage can change as Gulf exports recover, shipping conditions improve and price discounts narrow. Refiners are responding to those shifts rather than following a fixed supplier strategy.
The latest figures also demonstrate why diversification matters for a major oil-importing economy. Access to Russian, Middle Eastern, African and other crude grades gives Indian refiners options when conditions change. However, these options are constrained by refinery compatibility, freight costs, sanctions-related uncertainty and the risk of disruption along key shipping routes. India’s longer-term energy security will depend on maintaining flexible supply relationships while improving efficiency and gradually reducing exposure to imported fossil fuels.
FAQs
1. How much crude oil did India import from West Asia in September 2026?
India imported approximately 2.8 million barrels per day of Middle Eastern crude in September, according to ship-tracking data cited by Reuters. This was the highest level since February and represented around 54% of total crude imports.
2. Why did India’s Russian crude imports decline?
Purchases fell around 14% month-on-month as Middle Eastern supplies recovered, competition from Chinese buyers increased and Russian crude became less attractive relative to some Gulf grades.
3. Is Russia still India’s largest oil supplier?
Yes. Russia remained India’s largest individual crude supplier in September, despite lower purchases. The UAE and Iraq followed, according to the reported data.
4. Why is the Strait of Hormuz important to India?
The strait is a major route for crude shipments from the Persian Gulf. Disruptions can affect supply availability, delivery times, insurance and transportation costs for Indian refiners.
5. Will India stop buying Russian crude?
The September decline does not establish that India is abandoning Russian oil. Refiners continue to compare prices, availability, logistics and refinery requirements when choosing suppliers. Future purchases will depend on those conditions and any relevant geopolitical or regulatory developments.
Looking Ahead
India’s crude import mix will continue to depend on the relative competitiveness of Russian and Middle Eastern grades, the reliability of Gulf shipping routes and the level of demand at domestic refineries. If regional supplies remain available and attractively priced, Indian refiners may maintain a larger share of Gulf purchases. Russian crude could regain ground if discounts widen, availability improves or alternative supplies become more expensive.
The broader objective is not simply to favor one supplier over another, but to secure reliable energy at competitive prices. September’s data shows that Indian refiners can adjust their sourcing when market conditions change. Whether that pattern continues will depend on the evolution of the West Asia conflict, international oil prices, shipping costs and competition among major Asian buyers.
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