India Turns to Venezuela Amid Middle East Disruptions
India's crude oil imports have diversified to Latin America due to disruptions in Middle Eastern supplies caused by the Iran conflict and the Strait of Hormuz. According to ship-tracking data from Kpler, Indian crude imports from Venezuela rose sharply in August, making Venezuela the country's fourth-largest supplier with 444,000 barrels per day. This is ahead of Iraq's 118,000 bpd and the United States' 153,000 bpd.
Russian oil remains India's dominant supplier, with imports close to 2 million bpd in August, accounting for more than half of India's crude intake. Sumit Ritolia, Senior Manager, Modelling at Kpler, said that 'India's strategy is increasingly operating on several fronts at once: increasing domestic upstream production where possible, diversifying overseas crude suppliers and transportation routes, building strategic and commercial inventories, and accelerating alternatives such as gas, biofuels, EVs and renewables.'
The shift highlights India's broader energy-security strategy of making its crude imports more secure and resilient. Ritolia noted that replacing Middle Eastern barrels entirely is neither practical nor economical, and that Gulf producers remain geographically closer to India, reducing voyage times and transportation costs.