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Thursday, February 22, 2024

How Russian oil is reaching Europe with India’s help

The backdoor entry of Russian oil into Europe via India is a complex issue with both benefits and challenges.

Russian oil has long been a key source of energy for Europe, and despite sanctions and tensions due to the Russo-Ukrainian war, it is still being used to power cars in the region. A recent report by Bloomberg highlights the role of India in facilitating the backdoor entry of Russian oil into Europe.

Backdoor entry of Russian oil into Europe via India

Since February 2022, sanctions imposed on Russia by the European Union and the United States have made it difficult for Russian oil to reach European markets. However, Russian oil is still finding its way into Europe, with the help of India. Indian refiners are purchasing Russian crude oil and selling it to traders in Europe, providing a backdoor entry for Russian oil into the region. This practice has been going on for several years, but it has gained prominence in recent months due to rising demand for energy and the difficulties caused by sanctions.

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India’s role in powering Europe’s cars with Russian oil

India’s role in powering Europe’s cars with Russian oil cannot be understated. According to a report, India is on track to export a record 10.8 million tonnes of refined oil products to Europe in 2023, up from 9.5 million tonnes in 2022. The report also highlights that Indian refiners are exporting more gasoline and diesel to Europe than ever before, with a significant portion of it coming from Russian crude oil.

Challenges and controversies

The practice of using Russian oil to power cars in Europe with the help of India is not without challenges and controversies. For one, it goes against the sanctions imposed on Russia by the European Union and the United States. Additionally, the practice has been criticized for its environmental impact, as Russian oil is known for its high carbon intensity. There are also concerns about the reliability of Indian refineries, which have been known to face technical difficulties and accidents in the past.