India imported a total of 21.82 million tonnes of crude oil in May 2026, the highest volume since January and 12% higher than April. Russian crude alone made up 40.5% of the volume and contributed 42.6% of the import value – the strongest share since mid‑2024.

Premium pricing on Russian oil

The Ministry of Petroleum data shows India paid an average $106 per barrel in May, up 66% from $64 a barrel a year earlier. The price premium on Russian oil was roughly $46 per tonne, with the overall import price rising from $870 to $916 per tonne. Although the physical volume of Russian oil fell by 2% year‑on‑year, the value rose 83%, driving a 23.5% increase in the total import bill compared with April and a 66% jump over May 2025.

Renewed diversification efforts

Alongside the Russian surge, India resumed crude purchases from Iran and Venezuela. Venezuelan shipments rose sharply from $605 million in April to $984 million in May, while Iranian imports slipped from $430.5 million to $277 million over the same period. Both nations had faced export restrictions, but temporary waivers from the United States opened a narrow window for trade.

Expert analysis

Prerna Prabhakar, fellow at the Centre for Social and Economic Progress, argues that the Russian premium reflects the combined dependence of India and China on Moscow’s oil, compounded by supply disruptions from the West Asian conflict that began in late February. She notes, "Indian refiners have tuned their complexes to process Russian grades, so they factor the higher price into margin calculations while still weighing the cost of alternative grades from the U.S."

Looking ahead

Even if Russia’s share recedes modestly, analysts expect it to remain a core supplier because of established logistics and refinery compatibility. The re‑engagement with Iran and Venezuela signals a deliberate shift toward a multi‑source strategy aimed at insulating the Indian economy from geopolitical shocks. Policymakers will need to balance price volatility with energy security as they chart the next phase of India’s oil procurement.