India’s crude oil imports from the Gulf have increased despite continued risks around the Strait of Hormuz, with a rise in ship-to-ship transfers helping maintain supplies to Indian refiners.
The increase in ship-to-ship activity reflects efforts by oil traders and shipping operators to keep crude moving amid security concerns and operational disruptions in the key Gulf shipping corridor. Such transfers can allow cargoes to be moved between vessels at sea before continuing toward their final destinations.
India remains heavily dependent on imported crude to meet its domestic energy requirements, making the uninterrupted movement of oil through the Gulf strategically important. Gulf producers are among the country’s key crude suppliers, while Indian refiners have continued to seek alternative logistical arrangements to manage disruptions.
Higher ship-to-ship transfers are also highlighting the changing shipping patterns in the region as vessels seek to reduce exposure to risks around the Strait of Hormuz. The waterway is a critical route for global energy trade, carrying a significant share of crude oil and petroleum products.
For Indian refiners, sustained Gulf supplies could help limit the impact of shipping disruptions and maintain refinery operations. However, prolonged security risks could still lead to higher freight, insurance and handling costs, potentially increasing the landed cost of crude.
The development underscores the importance of flexible shipping arrangements as India and other major oil importers navigate continuing uncertainty in Gulf energy routes.