Indian oil refiners are increasingly becoming the largest purchasers of Venezuelan crude, stepping in as China reduces its imports following the United States' move to tighten control over oil sales from the Latin American nation.
The shift has significantly altered global crude trade flows, with India emerging as a key destination for Venezuela's oil exports.
Shipping data compiled by Bloomberg and maritime intelligence firm Kpler indicates that Venezuelan crude shipments to India surged sharply in March, rising more than fourfold compared with earlier months and even exceeding volumes sent to the United States.
Overall exports from Venezuela reached about 890,000 barrels per day during the month, the highest level recorded since December 2019.
The increase in exports has been supported by rising production in Venezuela, aided by the import of diluents-specialised additives used to thin the country's heavy crude so it can flow more easily through pipelines.
In March, nine cargoes of these diluents were delivered to Venezuela, up from seven shipments in February.
Global trading firms Vitol Group and Trafigura Group have been actively involved in supplying these materials and marketing Venezuelan oil internationally.
They have been authorised by the US administration to facilitate crude sales, while Chevron Corp., which holds a license to operate in Venezuela, has also been producing and exporting oil from the country.
Indian refiners, including Reliance Industries Ltd., Hindustan Petroleum Corp. and Indian Oil Corp. together purchased roughly 343,000 barrels per day of Venezuelan crude scheduled for loading in March.
Analysts suggest Indian companies may continue sourcing from Venezuela to offset supply uncertainties linked to ongoing geopolitical tensions and energy market disruptions in West Asia.