Ukraine will ban diesel imports from India
The picture of fuel supply has changed worldwide due to the Russia-Ukraine war. Meanwhile, Ukraine has taken a big decision regarding diesel coming from India. Ukraine no longer wants to trade oil from India. However, it will not be completely discontinued immediately, but Ukraine will examine every diesel consignment coming from India from October 1. Its purpose is to ensure that there is no adulteration of Russian crude oil in that diesel.
According to Ukraine’s major energy consultancy ‘Encor’ (Enkorr), Ukraine wants to limit Indian diesel imports due to Russian oil involvement. This step is being taken on the instructions of the security agencies of the country. Under this, lab testing of every diesel consignment coming from India will be done.
India is buying crude oil from Russia
India has been buying a huge amount of crude oil from Russia for some time. One of the major reasons for this is that Russia’s Ural grade crude, internationally, is getting cheaper by $ 5 to 6 per barrel compared to Brent crude. Indian refineries are taking advantage of this cheap deal and asking for crude oil from Russia and sending it in the country and abroad.
Why did Ukraine choose this strict way?
Local refineries have suffered heavy losses due to war in Ukraine. In this summer, a large refinery of Ukraine was closed, due to which the country needed to get diesel from outside. According to another consultancy A-95, the situation became so bad that even Ukraine’s Ministry of Defense bought diesel from India. The reason was that Indian diesel used to live up to the old Soviet standards. In August this year, Ukraine bought 1.19 lakh tonnes of diesel from India, which was about 18% of its total imports. But now Ukraine does not want him to use diesel in which Russia contributes.
The equation of the supply chain changed after the war
Prior to 2022, Ukraine was primarily dependent on Belarus and Russia for diesel needs. But from when the war started, Ukraine turned its stand towards Western Europe. According to A-95 data, diesel imports fell 13% to 2.74 million tonnes in the first half of this year. However, some traders were forced to get diesel from India. Now that the war is stretching long and mistrust is deepening on Russia, Ukraine is also looking at the diesel coming from India completely.