India Builds Crude Buffer as Imports Hit Record Highs

Data from Kpler indicates that stocks rose sharply from 90.5 million barrels in April, nearing the 107 million barrel peak recorded in February. Indian refiners aggressively expanded their intake to 5 million barrels per day in June, with Russian shipments accounting for more than half of that total. By sourcing oil from Russia and Venezuela, New Delhi is effectively bypassing the transit risks associated with Middle Eastern bottlenecks that previously crippled its reserves earlier this year.

Despite this momentum, India’s energy security remains precarious. The nation’s underground Strategic Petroleum Reserve holds roughly 39 million barrels, providing only eight days of consumption coverage—a figure that trails far behind other major global consumers. While current import strategies aim to protect public finances and mitigate future supply shocks, the limited storage capacity leaves the world’s third-largest oil buyer uniquely exposed to potential disruptions in the global market.