Another big question is whether Saudi Arabia and Russia will extend their additional voluntary cuts of 1 million barrels per day and 300,000 barrels per day, respectively, into 2024.
“Total oil exports increased by 460 thousand barrels per day (kb/d) to 7.6 million barrels per day (Mbd), with crude oil accounting for 250 kb/d of the increase.
Iran, a major oil producer, had been pumping more oil after the US began easing sanctions on Tehran.
Analysts say Netanyahu is on the backfoot, and he cannot be seen as weak. This could lead to further escalation and disruption in oil supply.
Petroleum and Natural Gas minister Hardeep Singh Puri on Wednesday said rising crude oil prices could create organised chaos and devastation in several parts of the world.
The data also noted that India’s crude oil imports from Iraq also increased, reaching 926,000 barrels per day, marking a 14.6% year-on-year increase and an 8.54% month-on-month rise.
Several factors are in place for the return of stagflation in the world’s largest economy, which could accelerate the decline of the dollar as the world’s reserve currency.
ONGC produces 13-14 million tonnes per annum of crude oil from its fields in the Arabian Sea, off the Mumbai coast.
The review pointed to encouraging signs of economic activity, citing high-frequency indicators like record e-way bill generation and electronic toll collections.
The global economy could slowly be approaching an inflection point beyond which things will change to local growth booms but production inefficiencies worldwide.
According to analysts, crude oil prices could even touch $100 a barrel in the next few weeks. Crude oil was trading at $82 a barrel (bbl) in January, after falling to $70 a bbl in June.
Overall, exports in August 2023 stood at $60.87 billion as against $63.52 billion in the same month previous year.
The inflated crude price in the international market will raise cost of India’s crude basket, and oil marketing companies will have to shell out more to import crude.
Indian refiners also cut imports from Iraq, another top supplier, to 866,000 barrels per day from 891,000 bpd.
A windfall tax is levied on domestic crude oil if rates of the global benchmark rise above USD 75 per barrel.
In August 2023, import from Russia was the lowest in the past seven months as crude imports from the country fell by 440kbd to 1.63 mbd.
The widening gap between US-India interest rates offers meatier returns on dollar assets than emerging markets, and predictably, companies are gravitating towards advanced economies.
U.S. officials and the owners of the ship, Suez Rajan, the Los Angeles-based private equity firm Oaktree Capital Management, did not immediately respond to requests for comment.
The imports from UAE too contracted to USD 13.39 billion during April-July 2023 as against USD 18.45 billion in the same period last year.
The tax, levied in the form of special additional excise duty, on domestically produced crude oil has been raised to Rs 7,100 per tonne from Rs 4,250 per tonne, according to an official notification.