Daijiworld Media Network - New Delhi

New Delhi, Jun 8: India’s top four oil suppliers Saudi Arabia, Russia, Iraq, and the UAE all key OPEC+ members, have sharply increased crude shipments to India, collectively supplying an additional 375,000 barrels per day (bpd) in May compared to April. Their combined market share in India, the world’s third-largest oil consumer, has now reached about 78%.

According to energy tracker Vortexa, these four nations exceeded their OPEC+ commitment of 359,000 bpd production increase under the alliance’s expansion plan of 409,000 bpd. Russia remained India’s largest crude supplier, benefiting from ongoing barrel discounts.

In May, Saudi Arabia boosted output by 166,000 bpd and increased exports to India by 135,673 bpd, raising its market share to 13.1%. Russia, Iraq, and the UAE raised output by 79,000 bpd, 37,000 bpd, and 77,000 bpd respectively, exporting 114,016 bpd, 66,642 bpd, and 58,365 bpd to India. Their combined share climbed 8.1 percentage points to 77.5%.

Conversely, African suppliers’ share dropped from 11.8% to 4.9%, and US crude exports to India declined to 5.7% from 7%.

Saudi Arabia’s increased supply to India came with significant price cuts to Asian buyers, with Saudi Aramco lowering the May official selling price for Arab Light crude by $2.30 per barrel — its lowest in nearly four years. This pricing strategy has made Middle Eastern crude more competitive versus Brent-linked grades, analysts say.

Looking ahead, eight OPEC+ countries plan to increase output by an additional 411,000 bpd in June and July, keeping crude prices steady between $60-$65 per barrel, well below the 2024 average of $80.

An Indian refinery executive said, “Saudi is offering attractive prices to gain share in India,” underscoring the growing competition for India’s expanding crude market.