Decision to buy Russian oil taken by firms: Govt

Russian oil accounts for 0.2% of total oil imports, said a government official.
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REUTERS

Even as US President Donald Trump announced that India has agreed to scale down buying Russian oil, the government has said that it doesn’t involve in the purchase decisions of oil companies. 

“The country takes these decisions. These decisions are taken at the company level. Companies decide which oil is the most economical, and they also decide whether they comply with government norms. They look at both things. They take those decisions based on these two parameters,” a senior government official said. 

Asked whether the government provides any direction to companies, he said, “There’s no question of our telling them to buy more or less,” on the sidelines of the Energy Technology meet here on Tuesday.

“I don’t have to tell them. They are smart enough to understand. If they buy a cargo that they can’t take, I can’t help them. It’s a bigger problem for them. If they are buying oil from a company that is sanctioned, how will they pay? The banker will not allow the payment,” he added. 

Asked if the import of oil from Russia would have an impact on the country, he pointed out that Russian oil accounted for 0.2 per cent of overall imports, which has now reached 30-35 per cent.

“Trade negotiations are happening, which have not yet concluded. I will not be able to tell you what kind of impact it will or will not have,” he said.

Addressing the conference, Petroleum and Natural Gas Minister Hardeep Singh Puri made an indirect comment about the issue. “Even if one supply goes down you’ve got alternatives elsewhere”.

Published on October 28, 2025