New Delhi,March,21,2026: India is preparing to resume Iranian oil purchases after the United States temporarily lifted sanctions. The development comes amid rising global energy prices and tensions in the Middle East.
Indian refiners are planning to resume buying Iranian oil after the US allowed the sale of Iranian crude currently stranded at sea. The move is aimed at cooling global oil prices, which have remained above 100 dollars per barrel during the week.
The decision follows disruptions in oil movement through the Strait of Hormuz, a key global shipping route through which around 20 percent of the world’s oil and gas passes. Iran has reportedly restricted tanker movement in the region during the ongoing conflict.
India imports nearly 90 percent of its oil requirements, with about 60 percent coming from Gulf countries. With energy prices rising, Indian refiners are looking at multiple sources, including Iranian oil and Russian oil shipments that are currently at sea.
According to reports, three Indian companies are planning to buy Iranian crude and are waiting for directions from the government. The government has also sought clarity from the US administration regarding payment mechanisms for oil purchases.
However, Iran has stated that it currently does not have floating crude or surplus oil available for international buyers. A statement from Iran’s consulate said the US announcement may have been intended to reassure markets.
Before US sanctions were imposed in 2018, India was one of the largest buyers of Iranian crude oil. Iranian oil accounted for about 11.5 percent of India’s total crude imports at that time.
Despite the current situation, Iranian oil supplies have continued to reach China, which remains the primary buyer. Indian refiners are now assessing whether supplies can be arranged if availability improves.
More oil shipments are expected to arrive in India, including tankers carrying Russian oil that were earlier headed to China but have changed route towards India.
The market reaction to the latest developments and the future of Iranian oil supplies to India will depend on the situation in the Middle East in the coming weeks.
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