Russia has offered India the chance to buy oil and other commodities at discounted prices. The offer is currently being considered by the BJP led Central government.
India, which imports 80% of its oil needs, usually buys about 2% to 3% of its supplies from Russia. But with oil prices up 40% so far this year, the government is looking at increasing this if it can help reduce its rising energy bill.
"Russia is offering oil and other commodities at a heavy discount. We will be happy to take that. We have some issues like tanker, insurance cover and oil blends to be resolved. Once we have that we will take the discount offer," one of the Indian government officials told Reuters.
Some international traders have been avoiding Russian oil to avoid becoming entangled in sanctions, but the Indian official said sanctions did not prevent India from importing the fuel.
ALSO WATCH |
This alleged decision of the Union government comes at a time when most countries/international traders have been steering clear of procuring Russian oil as they are worried about the imposition of sanctions. The sanctions, if imposed on any country, would be a result of the Russian government’s invasion of its neighbouring country Ukraine.
The two officials who were quoted by Reuters declined to be identified and did not say how much oil was on offer or what the discount was.