Russia Deputy PM Says India Signals ‘Renewed Interest’ In Oil Amid Supply Concerns

Russia says India shows “renewed interest” in its crude as Hormuz tensions disrupt supplies, reshaping global oil trade dynamics.

While India assures sufficient stockpiles, recent import diversification and a stalled US trade deal may complicate its energy strategy.

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Russia on Tuesday said India has expressed “renewed interest” in buying higher volumes of Russian crude, as volatility grips global energy markets following the closure of the Strait of Hormuz in the wake of U.S. and Israeli strikes on Iran.

The disruption along the crucial maritime corridor — widely regarded as the world’s most strategic oil transit chokepoint — has triggered fresh concerns about supply security across Asia. With nearly one-fifth of global crude shipments and substantial liquefied natural gas (LNG) flows moving through Hormuz, any prolonged instability could ripple through energy-dependent economies such as India, China and Japan.

Moscow Flags India’s Growing Demand

Russian Deputy Prime Minister Alexander Novak, speaking to Rossiya 1 television at an event in Moscow, confirmed that Moscow has received indications of stronger buying interest from New Delhi. Novak, who supervises Russia’s energy sector, suggested that geopolitical tensions may reshape established trade flows if uncertainty persists, as per PTI.

The remarks come at a time when oil markets are reacting sharply to supply risks in West Asia. Iranian actions affecting maritime routes have heightened fears of bottlenecks, pushing importers to reassess sourcing strategies.

Russian media outlet NTV, owned by Gazprom, reported that Iranian strikes targeting Gulf energy facilities could create room for Moscow to revisit the heavy price discounts extended to Asian customers, including India, since 2022.

Embassy Assures Full Supply Capability

An official at the Russian Embassy in New Delhi stated that Moscow stands ready to meet India’s entire energy requirement should supply disruptions deepen. The assurance follows production halts by QatarEnergy on March 2 after drone attacks damaged infrastructure at Ras Laffan and Mesaieed Industrial City, compounding regional supply anxieties.

India, however, has moved to calm domestic concerns. The Ministry of Petroleum and Natural Gas said on Monday that the country maintains adequate stockpiles of crude oil and refined products — including petrol, diesel and aviation turbine fuel — to manage short-term turbulence.

Import Patterns Shift Amid Strategic Balancing

Government data indicates that India’s intake of Russian crude slipped to a 44-month low in January 2026, with Moscow’s share dipping below 20% for the first time since May 2022. During this period, Indian refiners increased purchases from Gulf producers and the United States, reflecting diversification efforts, reported The Hindu.

Yet, the latest escalation in West Asia may complicate that recalibration. A proposed trade arrangement with Washington — viewed by analysts as a factor behind India’s scaled-back purchases of discounted Russian oil — faces uncertainty after the U.S. Supreme Court invalidated reciprocal tariffs on February 20.