As the third-largest oil consumer in the world, India depends heavily on oil imports to meet its growing energy needs. During the fiscal year 2023–24, India brought in about 232.5 million metric tonnes (MMT) of crude oil through oil imports in India, slightly less than the 232.7 MMT it imported the previous year. With such large volumes, a common question that arises is: India import oil from which country the most? The answer varies over time, but major suppliers include Russia, Saudi Arabia, Iraq, and the United States. This dependence has clear effects on the country’s energy security, trade balance, and foreign policy.

How to Know India’s Imports of Crude Oil

India needs to buy more oil from other countries because it is rapidly industrializing, more people are buying cars, and India can’t make enough crude oil on its own. India produced about 30 MMT of crude oil in 2024, which was less than 15% of the total amount of oil the country used. This gap highlights the growing need for petrol import in India, especially as the demand continues to rise.

India is able to meet its needs because of a network of long-term contracts and one-time deals with many foreign providers. The United States, Russia, and countries in the Middle East all play important parts in these groups, making India one of the Top 10 Leading Oil Importers in the world.

India’s most important crude oil imports in fiscal year 2023–24

• Total amount of imported crude oil: 232.5 MMT
• Around $158 billion in imports.
• Russia, Iraq, Saudi Arabia, the US, and the UAE are the top providers.
• Over 250 million metric tons of oil can be processed every year, which allows the country to be a net exporter of refined oil goods, despite the high volume of oil imports in India.

Change in Approach to Imports

India has changed the way it buys oil as a strategy in recent years.

Focus on diversification: To lower supply risks, India is getting more and more crude oil from countries other than OPEC, like the USA and Russia.

Strategic petroleum reserves: India is increasing its storage capacity by constructing underground rock caverns near Padur, Visakhapatnam, and Mangaluru.

Discounted Russian oil: Since the conflict between Russia and Ukraine, India has bought more oil from Russia, which has helped them save a lot of money on Urals crude.

Petrol Import in India

India doesn’t need to import a lot of fuel because it has a strong base for processing it. In fact, India is a net exporter of refined petroleum products, including petrol, diesel, and aviation turbine fuel (ATF). While petrol import in India is minimal due to this robust refining infrastructure, the country still relies on crude oil imports to produce these fuels. Indian Oil Corporation, Bharat Petroleum, and Reliance Industries all run refineries in the country that process foreign oil to meet demand in India, along with other nations.

Effects on the Economy

The fact that India buys a lot of oil from other countries makes its current account gap bigger. When crude oil prices rise significantly, it might cause inflation domestically. To stop this, the government often changes extra taxes or lowers the price of fuel, which can put a strain on the public fund.

Concerns about the environment and policy

India is also making the change to clean energy. Oil is still important in the short to long term, but the government is not.

• Promoting electric vehicles (EVs)
• Sustainable hydrogen and biofuel investments
• ONGC and other groups are looking into their oil sources.

Still, the fact that the country receives a lot of crude oil shows how hard it is to become energy independent.

India’s Key Crude Oil Import Statistics (2023–24)

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Top 10 Leading Oil Importers

India ranks among the Top 10 Leading Oil Importers in the world, with China and the United States occupying the top two positions. The top two are China and the United States. As the International Energy Agency (IEA) says.

• China
• United States
• India
• Japan
• South Korea
• Germany
• Netherlands
• Italy
• Spain
• France

India’s imports keep going up because the transportation, power, and manufacturing sectors need more and more.

Wrapping It Up

The amount of oil that India must import is likely to be high for the time being. Oil imports in India are still very important for keeping the economy growing, industries running, and transportation networks running. But the future will depend on how hard the country works to diversify its energy sources, create new fuels, and explore its own territory.

India can better handle its dependency on oil and get ready for a cleaner, more sustainable energy mix in the decades to come by addressing India crude oil imports through smart policies and international collaboration.

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