India is trying to get a discount on Russian oil and wants to buy it at a price below $70 per barrel.
The benchmark Brent oil is currently trading at around $108 a barrel.
Bloomberg writes about this, citing sources.
Representatives of the Indian side at the talks with Moscow noted that in this way India wants to compensate for the additional costs associated with the purchase of oil from Russia against the background of the aggravation of the geopolitical situation and the growth of sanctions pressure, the sources say.
State and private refineries in India, the world’s third-largest oil importer, have bought more than 40 million barrels of Russian oil since it invaded Ukraine. That’s 20% more than Russia’s exports to India for all of 2021, according to Bloomberg’s calculations.
India, which imports more than 85% of its oil, is one of the few buyers of Russian oil, a key source of income for Vladimir Putin’s regime. Decrease in European demand is putting serious pressure on the Russian oil industry and the government predicts production could fall by 17% this year.
Recall, on May 4, the European Commission presents the sixth package of sanctions against Russia for its military aggression against Ukraine.
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