India's Oil Import Dependence
India imports approximately 85-87% of its crude oil requirements, making it the world's third-largest oil importer and consumer. Crude oil and petroleum products consistently constitute the largest single item in India's merchandise import basket, typically accounting for around 25-27% of total imports.
- Every USD 10 per barrel increase in crude oil price is estimated to widen India's CAD by approximately 36 basis points of GDP.
- India's major crude oil suppliers include Iraq (the largest), Saudi Arabia, Russia (significantly increased post-2022), UAE, and the US.
- A rise in crude prices simultaneously widens the trade deficit, raises inflation (through fuel and transport costs), and increases the fiscal burden on the government if it intervenes to cap retail prices.
- The Petroleum Planning and Analysis Cell (PPAC) under the Ministry of Petroleum monitors crude import data.
● Tracked since March 09, 2026 · last seen May 18, 2026 · updates as the daily brief publishes
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