India says Russian oil purchases are commercial

India said on May 18 that its purchases of Russian crude are being driven by commercial considerations rather than by any U.S. sanctions waiver. Sujata Sharma, a joint secretary in India’s Ministry of Petroleum and Natural Gas, told reporters in New Delhi that buying patterns had not changed across different waiver periods. Her comments came after a U.S. relief measure tied to already-loaded Russian seaborne crude expired on May 16, according to reports citing the Treasury waiver timeline. (indiatvnews.com) The remarks amount to a public restatement of India’s position that refiners will keep sourcing crude where price and availability make sense. Russia has become a major supplier to India since Western sanctions reshaped global oil flows, and Indian official background documents list oil and petroleum products among the country’s key imports from Russia. (rediff.com) ### What exactly did the Indian official say? Sujata Sharma told reporters on May 18 that India had been purchasing Russian oil “before waiver also, during waiver also, and now also,” according to multiple reports of the briefing. She said crude sourcing decisions were guided by commercial logic and supply availability, not by the existence of a U.S. waiver. (indiatvnews.com) The same briefing included Sharma’s assurance that there was no shortage of crude supply. She said enough volumes had been tied up and that “whatever waiver or no waiver, it will not affect,” according to reports published on May 18 and May 19. (indiatvnews.com) ### Which U.S. waiver is at issue? The U.S. measure in question was a temporary sanctions waiver that allowed transactions involving Russian crude already loaded onto tankers, according to reports on the waiver’s expiry. That relief was first issued in mid-March and later extended in April before lapsing again on May 16, one report said. Bloomberg reported on May 13 that Indian imports of Russian oil had been running at a record pace ahead of the waiver’s expiry, citing Kpler data showing May inflows at 2.3 million barrels per day so far that month. (indiatvnews.com) That report said refiners were also broadening supply options because of disruption risks linked to the Iran war. ### Why does India say the purchases are commercial? India’s explanation is centered on price, availability and energy security. Sharma said sourcing decisions were based on affordability and reliable supply, according to reports of her comments. Indian government background materials also show the broader context: Russia remains an established energy partner, and oil and petroleum products are a major component of India’s imports from Russia. (rediff.com) Official India-Russia relationship briefs published by the Ministry of External Affairs list oil among the principal imports from Russia. ### Has India changed its policy because of the waiver debate? The answer from New Delhi was no. (bloomberg.com) Sharma said the country’s approach had stayed consistent through changing sanctions conditions, and reports of the briefing said India would continue buying Russian crude even after the waiver expired. That position differs from market expectations earlier in the month that refiners might scale back if the waiver was not renewed. (indiatvnews.com) Bloomberg reported on May 13 that processors were preparing alternate supply options as the waiver deadline approached. ### What should be watched next? May 16 is the immediate date to watch because that was the expiry point for the latest U.S. relief measure covering already-loaded cargoes, according to reports. (mea.gov.in) Any U.S. decision on a further extension, replacement guidance or enforcement posture would be the next formal policy signal for traders and refiners. In New Delhi, the next public marker will be additional comments from the Ministry of Petroleum and Natural Gas or Indian refiners on cargo flows and supply contracts. (oneindia.com) Sharma said on May 18 that enough crude had already been secured through existing arrangements. (indiatvnews.com) (rediff.com) (bloomberg.com)