New Delhi: India has emerged as the largest buyer of Russian oil, surpassing China. Operationalization of a new sea route - the Eastern Maritime Corridor (EMC) connecting Chennai and Vladivostok is playing a significant role in reducing shipping time and costs, particularly for key commodities like crude oil, coal, and liquefied natural gas (LNG).
According to reports, the EMC, spanning approximately 5,600 nautical miles, has cut transit times between India and Russia’s Far East ports by up to 16 days. Shipments take around 24 days, significantly less than the 40-day journey via the traditional Mumbai-St. Petersburg route, which covers 8,675 nautical miles. Union Shipping Minister Sarbananda Sonowal highlighted that the route’s activation has streamlined the transportation of essential goods, including crude oil and metals.
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Large vessels cruising at 25 knots (approximately 45 km/h) cover the Chennai-Vladivostok route in 12 days, less than a third of the time required for the older trade path. On the Indian side, ports such as Paradip, Visakhapatnam, Tuticorin, Ennore, and Kolkata support docking based on cargo type and final destinations.
According to the data of the Shipping Ministry, India’s top imports through the EMC in 2024 included crude oil, coal, fertilizers and vegetable oils. Major exports comprised processed minerals, iron and steel, tea, marine products, and coffee. In terms of quantity, petroleum crude led imports, while processed minerals topped export shipments.
India’s Imports Slightly Declined During The Second Half Of The Year
India, the world’s third-largest crude oil consumer, relies on imports for over 85 per cent of its oil needs. After surpassing China as Russia’s biggest oil buyer in mid-2024, India’s imports declined slightly during the second half of 2024 due to annual refinery maintenance. However, shipments of Russia’s flagship Urals crude hit a four-month high in October, making up more than three-fourths of India’s Russian oil imports.
Previously, Iraq and Saudi Arabia were India’s top oil suppliers. However, Western sanctions against Russia following its February 2022 invasion of Ukraine prompted Moscow to offer discounted crude. Despite shrinking discounts over time, Indian refiners find Russian oil economically attractive, especially with reduced shipping costs from the new corridor.
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