Moscow: Russia has decided to ban petrol exports from April 1 to July 31. Deputy Prime Minister Alexander Novak has instructed the Energy Ministry to prepare a proposal. Russia says the move is aimed at maintaining domestic supplies and controlling prices.
Novak said the ongoing Israel-Iran war in the Middle East has increased volatility in the global oil and petroleum production market, causing price fluctuations.
Russia exports 120,000 to 170,000 barrels of petroleum per day. The export ban could affect countries like China, Turkey, Brazil, Africa and Singapore, which are major buyers of Russian oil products. India will be less affected as it buys crude oil, not petroleum.
Experts believe that India is not directly dependent on finished fuels like petrol, but on crude oil. Crude oil is refined to produce petrol and diesel. India imports about 80% of its crude oil requirements, of which about 20% comes from Russia.
India imports very little petrol or other finished fuels. Instead, the country processes crude oil itself through its extensive refinery network. Therefore, the Russian ban on petrol exports is unlikely to have a direct impact on India.
India refines about 5.6 million barrels of crude oil per day, not only to meet its domestic needs but also to export the finished fuel.
However, experts also believe that if Russia's decision affects global supplies, crude oil prices could rise. Oil prices are already above $100 per barrel due to the war.