Russia-Ukraine crisis: Central government tiptoes on oily slope

 External affairs ministry spokesperson Arindam Bagchi said that India’s oil requirements are mostly met by imports

Arindam Bagchi.: File photo

TT Special Correspondent   |   New Delhi   |  18.03.22  :   Amid reports that state-run Indian oil companies have bought Russian crude oil at discounted prices, the external affairs ministry on Thursday remained evasive on whether New Delhi was taking up Moscow’s offer while highlighting that other European countries were doing so.

PTI reported that besides the Indian Oil Corporation, Hindustan Petroleum Corporation Ltd (HPCL) had bought Russian crude. Mangalore Refinery and Petrochemicals Ltd (MRPL) has floated a tender. 

External affairs ministry spokesperson Arindam Bagchi said that India’s oil requirements are mostly met by imports. His stock reply to questions on the reports of India buying discounted crude from Russia and reviving the rupee-rouble payment mechanism was that India is always exploring all opportunities in global energy markets.

Bagchi said: “I don’t think Russia has been a major supplier (to India). On the question of imports of energy from Russia, let me just highlight that a number of countries are doing so, especially in Europe. For the moment, I will leave it at that.”

By saying so, Bagchi refused to be buttonholed into giving a “yes” or “no” to the question whether India had taken up the Russian offer of discounted crude to deal with the loss of buyers for its energy resources because of the conflict with Ukraine.

Referring to the rupee-rouble mechanism – which has been used in the Soviet era and post-1990 – Bagchi said the finance ministry would be in a better position to respond to that.

On the possibility of the sanctions announced by several countries on Russia impacting India because of its longstanding deals with Russian industry, he said India was awaiting the details of these unilateral sanctions to examine their impact on India’s economic exchanges with Russia.