According to Reuters‘ calculations, OPEC’s proportion of crude imports in India fell to its lowest level in at least 15 years last year, as the world’s third-largest oil importer purchased more petroleum from North America to compensate for its inability to purchase from Iran and Venezuela.

OPEC continued to account for the majority of India’s oil imports, but its share fell to 70% last year. India is one of the most price-sensitive significant oil importers, and it urged OPEC and OPEC+ to increase output more than expected last year to lower global crude oil prices.

For years, India has been attempting to diversify its oil supplies, citing OPEC’s strong import dependence as a geopolitical concern. Because of US sanctions, the government has forced to halt purchases from OPEC members Iran and Venezuela for the previous two years. Indian refiners have chosen to follow the sanctions regime rather than provide the US with justifications for secondary penalties or the exclusion of Indian enterprises from the US financial system and markets.

As oil prices began to rise in early 2021, India began to call on OPEC+ to consider the effects of increasing oil prices on consumption in recovering countries as early as January.