India’s oil imports jumped 23% month-on-month to a four-month high of 4.2 million barrels per day (bpd) in August as refiners prepare to increase crude throughputs for the festival season which begins next month, Reuters reported. Tuesday, citing data on tankers from commercial sources.
India’s oil imports also increased by 6.2% in August 2021 compared to the same month of 2020.
Oil imports to India hit a four-month high last month after several months of declining shipments due to the resurgence of COVID cases in the spring, weakening demand for fuel linked to the spread of the coronavirus in April and May and refinery maintenance in July.
Indian refiners imported the lowest volume of crude oil in nine months in June 2021, as purchases slowed in April and May when India imposed regional mobility restrictions to curb a resurgence of COVID cases. India is estimated to have imported around 3.9 million barrels per day of crude oil in June, down 7% from imports in May.
In July 2021, Indian refiners imported the lowest volumes of oil in a year due to refinery maintenance. Crude oil imports in July were down 12.5% ââfrom the already low import volume in June, and amounted to just 3.4 million barrels per day, industry sources with data on tankers.
India’s oil imports rebounded in August as refiners bought more crude in anticipation of increased fuel production just in time for the festival season in October and November.
India imported more oil from the United States and Latin America last month, with cargoes booked in May-June thanks to arbitration, according to data from trade sources obtained by Reuters.
India’s US oil imports hit a five-month high while shipments from Latin America hit their highest level since December 2020. Additional purchases of crude from the Americas left the Middle East with a smaller share of India’s oil imports last month, at 61.8. percent, it was down from 64.7% in July.
By Tsvetana Paraskova for OilUSD
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