India is planning to resume crude oil imports from Venezuela after a gap of around 11 months, according to commodity analytics firm Kpler. The country is expected to receive about 10 to 12 million barrels of crude oil from the South American nation. This comes at a time when global energy markets are facing heightened uncertainty.
“…April-arriving cargoes were likely secured well before the recent disruptions, underscoring a longer-term strategic shift rather than a purely reactive move.. This trend highlights the growing importance of proactive diversification in global energy markets. Securing an alternative supply in advance is increasingly seen as a competitive advantage,” ,” said Sumit Ritolia, lead research analyst, refining & modelling at Kpler.
Before US sanctions, Venezuela was an important oil supplier for India. In FY18, it accounted for about 6.7% of India’s total crude imports. Venezuela mainly produces heavy crude oil, which is well-suited for India’s advanced refineries. Complex refineries such as Reliance Industries’ Jamnagar refinery and Nayara Energy’s Vadinar plant are designed to process high-sulphur crude efficiently. Some shipments may also reach Kochi port, supporting Bharat Petroleum Corporation Limited’s refinery operations. Heavy crude oil helps produce more middle distillates such as diesel and jet fuel, which are currently in high demand globally. By importing Venezuelan oil, India can improve refinery output and meet rising demand for these fuels.