India’s crude oil imports fell for a 3rd month in a row in August, authorities information confirmed on Tuesday, as refiners on the planet’s third largest importer carried out upkeep and diminished shipments from Russia.
Crude imports fell 3.9% month-on-month to 18.73 million metric tons in August, Petroleum Planning and Evaluation Cell (PPAC) information confirmed.
“Imports are down, which was anticipated because of refinery upkeep,” mentioned LSEG analyst Ehsan Ul Haq.
“Increased costs for Russian oil may even have led to decrease imports by Indian refiners,” mentioned Haq, including that demand may however choose up throughout the festive season.
India’s oil imports from Russia dropped in August to a seven-month low, commerce circulation information by Kpler and LSEG confirmed, as refiners reduce purchases because of upkeep outages and narrowing reductions.
In July, India additionally elevated the windfall tax on petroleum crude to restrict personal refiners making positive aspects from strong refining margins in abroad markets, as a substitute of promoting at residence.
Nonetheless, the general imports have been nonetheless up 6.2% in contrast with the identical month final yr. Oil product imports additionally rose 26.5% to 4.06 million metric tons from August final yr.
Oil product exports additionally rose 11.3% year-on-year to five.83 million metric tons in July.
India’s gasoline consumption in August inched up from a 10-month low, as sturdy manufacturing unit exercise offset the standard monsoon lull.
An oil worth rally to close $100 a barrel, pushed by weak U.S. shale output and prolonged manufacturing cuts by Saudi Arabia and Russia, has pushed expectations of tight provide.
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First Revealed: Sep 19 2023 | 11:18 PM IST
