Refiners in India are paying a significant premium for Russian oil, highlighting the importance of the market to Moscow and raising concerns about the effectiveness of the G-7 imposed cap on Russian oil prices. Indian refiners paid an average of $86 a barrel for Russian shipments in August, the widest spread since the cap was introduced. The cap is designed to limit the Kremlin s crude-based income while allowing Russian flows on the global market.
Refiners in India are paying a significant premium for Russian oil, highlighting the importance of the market to Moscow and raising concerns about the effectiveness of the G-7 imposed cap on Russian oil prices. Indian refiners paid an average of $86 a barrel for Russian shipments in August, the widest spread since the cap was introduced. The cap is designed to limit the Kremlin s crude-based income while allowing Russian flows on the global market.
Western sanctions over Russia's invasion of Ukraine, including the $60 a barrel price cap on Russian crude exports and the European Union's import ban, have forced the Kremlin to change the way it taxes oil sales.
India's imports of Russian crude in March rose for the seventh straight month to end out the fiscal year as top supplier to India, displacing Iraq for the first time, the data showed.