India Boosts Oil Imports from Africa and Latin America as Middle East Supply Disruptions Shift Trade Flows
Indian refiners have increased crude oil imports from Africa and Latin America as disruptions in Middle Eastern supply routes linked to heightened tensions affecting shipping through the Strait of Hormuz continue to reshape global oil trade flows.
The shift comes as India, the world’s third-largest oil importer, adjusts its sourcing strategy to manage supply uncertainty and maintain refinery operations.
Traditionally reliant on Middle Eastern crude, Indian refiners have expanded purchases from Venezuela, Brazil, Angola, and Nigeria in April and May, according to trade data cited in recent reports.
The diversification has been driven by constrained availability of Middle Eastern cargoes and logistical challenges linked to the Strait of Hormuz, a key transit route for global oil shipments.
While supplies from Gulf producers have remained partially stable, refiners have increasingly turned to alternative long-haul sources to bridge gaps.
Despite the shift, Russian crude continues to play a significant role in India’s import basket, even as flows have fluctuated due to refinery maintenance and shifting trade patterns.
Meanwhile, imports from the United Arab Emirates and Saudi Arabia have remained relatively steady, supported in part by export infrastructure that can bypass the Strait of Hormuz.
Data indicates that India’s total crude imports held broadly steady in April at around 4.57 million barrels per day, though volumes were lower compared with the same period last year.
Within this mix, African and Latin American grades have gained share as refiners seek to diversify supply risk.
A notable development in recent months has been increased shipments from West Africa and South America.
Industry data suggests Venezuela is emerging as a more prominent supplier, reflecting growing demand for heavier crude grades suited to certain Indian refineries.
State-run Indian Oil Corporation has also secured cargoes from West Africa and the Middle East as part of broader efforts to ensure supply security and manage price volatility.
At the same time, structural adjustments in global trade flows have influenced availability.
Shifts in Asian demand patterns and rerouting of cargoes away from constrained Middle Eastern routes have contributed to increased spot availability from alternative regions.
Overall, the evolving import mix underscores a broader diversification trend in India’s energy procurement strategy, as refiners balance geopolitical risk, freight economics, and refinery configuration needs in a volatile global oil market.
