2 hrs ago
India Supplies Europe’s Diesel Despite Record Crude Import Dependence
India buys most of its crude oil from other countries.
Its large refineries turn that crude into useful products such as diesel.
Some of the diesel is used in India, while some is sold abroad.
In August, India supplied about 60% of the diesel moving through the Bab-el-Mandeb route to Europe.
Europe needed more fuel because Russian diesel exports were largely absent and inventories were low.
India’s refineries had been using crude purchased earlier.
However, crude and condensate shipments to India fell for two straight months.
Vortexa said this could make it harder for India to keep exporting diesel at the same level in September and October.
The situation has also renewed debate over India’s purchases of Russian oil and its refined-fuel exports to Europe.
India supplied about 60% of diesel transiting the Bab-el-Mandeb route to Europe in August.
India’s crude-import dependence reached a record 88.7% in 2025-2026 as domestic production declined.
Indian refineries process imported crude into refined fuels for domestic use and export.
Petroleum-product exports rose 67.64%, from $4.13 billion in July 2025 to $6.92 billion in July 2026.
Vortexa warned that falling crude supplies could reduce India’s diesel exports during September and October.
- Who
- India, Indian refiners, Europe, Russia, and Vortexa are the main parties discussed.
- What
- India supplied roughly 60% of diesel transiting the Bab-el-Mandeb route to Europe while relying on imported crude for 88.7% of its oil supply.
- Where
- Diesel moved through the Bab-el-Mandeb route from India toward Europe.
- When
- The diesel figure refers to August; crude-import data covers 2025-2026, and the potential export decline was projected for September and October.
- Why
- India’s large refining system converts imported crude into exportable fuels, while Europe faced reduced Russian supplies, low inventories, and limited domestic diesel capacity.
India’s defense
Critics’ concerns
Purchases of Russian oil
India’s defense
S Jaishankar said India bought oil based on cost and availability, arguing that market conditions and Europe’s purchases of Middle Eastern oil pushed India toward Russian supplies.
Critics’ concerns
The United States and European Union criticized India for continuing to buy discounted Russian crude and reselling it to Europe as refined fuels.
Future diesel exports
India’s defense
India’s refineries had continued operating with crude purchased earlier, allowing the country to maintain diesel exports despite recent declines in incoming crude supplies.
Critics’ concerns
Vortexa warned that two months of falling crude or condensate supplies left little room for India to sustain its current diesel-export pace through September and October.
Key facts
- India’s crude-import dependence
- 88.7% in 2025-2026
- India’s share of Bab-el-Mandeb diesel flows
- Approximately 60% in August
- Diesel transiting Bab-el-Mandeb for Europe
- About 200,000 barrels per day in August
- India’s refining capacity
- 258.1 million metric tonnes per annum
- Projected refining capacity by 2030
- 309.5 million metric tonnes per annum
- Petroleum-product exports
- Rose 67.64%, from $4.13 billion in July 2025 to $6.92 billion in July 2026
- Crude or condensate supplies to India
- Fell to 3.8 million barrels per day in August from 4.8 million barrels per day a year earlier
Quotes
Vortexa
Analytics firm tracking global oil and refined-fuel markets
“Europe’s next few months’ worth of diesel supply therefore depends on an array of unstable sources, while low inventories and an upcoming turnaround season just worsen the pressure”
financialexpress.com
S Jaishankar
India’s External Affairs Minister
“I buy oil based on cost and availability.”
financialexpress.com










