India accepts Russia's proposal to purchase oil at discounted rates -

New Delhi: Since the United States imposed harsh sanctions targeting Russian oil exports, Russia has proposed to supply oil at a concessional rate to India as a trusted ally. As the crude prices are inflated in the international markets, it is reported that India is mulling over accepting the offer. Few sources from Indian Oil Corporation (IOC), the biggest oil company, have informed that India has purchased 3 million barrels of crude oil from Russia. As the information of the deal flows in, the United States has said that although this deal does not violate the US sanctions, it will put India on the wrong side of history.

A few days ago, US President Joe Biden announced that the US would not buy crude from Russia. Biden expects other countries to follow a similar stand and expressed confidence that this will deliver a blow to the Russian economy. The US President said that he was aware that some countries dependent on Russia for their oil requirements would not be able to decide against it immediately.

Following the United States, the United Kingdom and some other allies took a similar decision to target Russian oil exports, which is the main contributor to Russia’s economy. Against this background, Russia has proposed the sale of crude oil to India at concessional rates. Moreover, Russia has urged India to invest in the Russian oil industry to ensure its consistent oil supply. Fuel Minister Hardeep Sing Puri has clarified that India was considering Russia’s proposal.

Meanwhile, as per sources, IOC has already purchased nearly 3 million barrels of crude oil at a discount of $20 to $25 per barrel. As per analysts, India, which depends on oil import for 85% of its energy needs, will decide in its interest without paying much heed to any external pressures.

The United States has said that it was closely monitoring the India-Russia deal. US White House spokeswoman Jane Psaki has said that this India-Russia deal does not violate the US sanctions. Still, it would put India on the wrong side in history for supporting Russia, which has invaded another country. Psaki said that this Indian decision was incorrect. Psaki warned that not the history, but the US is taking note of this incident which can have consequences.