Prime Minister Narendra Modi highlighted the crucial role of the fuel trade between India and Russia during a press conference with Russian President Vladimir Putin. This bilateral agreement, according to Modi, has not only protected Indian citizens from inflation but also contributed significantly to global market stability.
“When the world was facing the challenge of fuels, your support helped us fulfill the petrol and diesel requirements of people in India. Not just this, the world should accept that India-Russia agreement regarding fuel played a big role in bringing stability to the international market,” Modi stated.
Following its invasion of Ukraine in February 2022, Russia encountered extensive sanctions from several European nations. These measures aimed to slash Russia’s oil revenue, thereby restricting its capacity to fund military operations and extend geopolitical influence. Despite substantial Western pressure, India continued to purchase Russian oil, securing it at deep discounts.
This decision proved advantageous for India. A Reuters report noted a record import of approximately 2.1 million barrels per day (bpd) of Russian crude oil in May. Reduced demand from China led to greater discounts on Russian oil, allowing India to mitigate domestic fuel shortages and stabilize prices.
“Citizens of many countries faced hard times due to the fuel shortage. But due to our agreement, we were able to save the people of India from fuel shortage, inflation, and bring stability,” Modi added.
India’s consistent fuel imports from Russia also had a major impact on global markets. By boosting its exports of diesel and jet fuel to Europe, India helped ease fuel supply constraints faced by European nations.
During his first bilateral visit to Russia in five years, Prime Minister Modi praised the enduring India-Russia relationship, calling Moscow an “all-weather friend.”
“No matter how low the temperature dips below minus during Russian winter, India-Russia friendship has always remained in ‘plus’, it is full of warmth. This relationship is built on the strong foundation of mutual trust and mutual respect,” the Prime Minister said.
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