India Sources Half Its Crude Petroleum Needs from Arab Nations

India Sources Half Its Crude Petroleum Needs from Arab Nations

India stands as one of the globe's paramount energy consumers, heavily leaning on crude petroleum imports. Scrutinizing the recent data spanning January-July 2023, issued by the Indian Ministry of Commerce, a distinct trend in India's import behavior surfaces, revealing a notable inclination towards Arab nations. Yet, in a strategic pivot, India is now actively exploring alternative markets. Notably, imports from Russia have surged, positioning the country at the zenith of India's import list.

India's total import of crude petroleum from the world stands at a colossal US$ 82203 million. When we narrow down to the Arab nations, the figure is US$ 40,415 million. This means that almost 49% of India's petroleum imports come from the Arab countries, although they account for only 22% of India's total imports from the world.

Topping the list, Iraq exported crude petroleum worth US$ 15,765 million to India. When we consider Iraq's total exports to India, which amounts to US$ 16,342 million, petroleum accounts for a whopping 96.5%. Clearly, petroleum trade dominates the bilateral commerce between the two nations.

The kingdom exported crude petroleum worth US$ 14,075 million to India. Out of its total exports to India worth US$ 20,702 million, petroleum contributes 68%. Saudi Arabia, with its vast oil reserves, remains a pivotal supplier for India.

The United Arab Emirates exported crude worth US$ 5,309 million to India. This constitutes only 20.4% of its total exports to India, which stands at US$ 26,087 million. This suggests a diversified trading portfolio between India and UAE.

Kuwait's petroleum exports to India stand at US$ 3,227 million, making up 62.3% of its total exports to India. On the other hand, Qatar, known for its LNG reserves, exported petroleum worth US$ 931 million, contributing to 12.1% of its total exports.

Oman, Egypt, Libya, and Tunisia also feature in the list with varying percentages of petroleum in their total exports, ranging from a high 88.5% for Libya to a modest 20.2% for Tunisia.