/images/ppid_59c68470-image-177029257050620635.webp)
What is the story about?
India’s Ministry of External Affairs (MEA) reiterated that New Delhi remains open to exploring the commercial merits of any new crude supply options, including from Venezuela, as part of its broader strategy to diversify energy sources and secure supplies for 1.4 billion people.
The comments come amid reports of India and the US informally reaching a bilateral trade understanding, under which US President Donald Trump said export tariffs on American goods entering India would be zero, India would stop buying crude from Russia, and import goods worth $500 billion from the US. New Delhi, however, has highlighted a reciprocal tariff reduction to 18% from 50% earlier as part of the arrangement.
Read More:What will India buy from the US for $500 billion? Piyush Goyal answers
Responding to queries on India’s crude sourcing strategy, the MEA said ensuring the energy security of 1.4 billion Indians remains the government’s “supreme priority,” with diversification based on objective market conditions and evolving international developments central to this approach.
“All of India’s actions are taken and will be taken with this in mind,” the ministry said.
On Venezuela, the MEA described the country as a long-standing component of India’s energy basket, with ties spanning both trade and investment. Indian public sector oil companies have partnered with Venezuela’s national oil company, PdVSA, and have maintained a presence in the country since 2008.
Venezuela was among India’s major crude suppliers until FY2019–20, before imports were discontinued following the imposition of international sanctions. Shipments briefly resumed in FY2023–24 after a partial easing of restrictions, but were halted again after sanctions were re-imposed.
The MEA said India’s position on Venezuelan crude is consistent with its broader energy policy, which prioritises commercial viability and supply security. “Consistent with India’s approach to energy security, India remains open to exploring the commercial merits of any new crude supply options, including from Venezuela,” the ministry said.
The remarks come as global attention has returned to Venezuela’s oil sector, which holds the world’s largest proven crude reserves—nearly a fifth of global oil reserves—though production has remained constrained by sanctions, underinvestment and operational challenges.
Recent political developments, including US intervention that led to the removal of President Nicolás Maduro, have renewed expectations around the country’s oil exports, with Washington promising economic revival and improved living conditions for Venezuelan citizens.
The comments come amid reports of India and the US informally reaching a bilateral trade understanding, under which US President Donald Trump said export tariffs on American goods entering India would be zero, India would stop buying crude from Russia, and import goods worth $500 billion from the US. New Delhi, however, has highlighted a reciprocal tariff reduction to 18% from 50% earlier as part of the arrangement.
Read More:What will India buy from the US for $500 billion? Piyush Goyal answers
Responding to queries on India’s crude sourcing strategy, the MEA said ensuring the energy security of 1.4 billion Indians remains the government’s “supreme priority,” with diversification based on objective market conditions and evolving international developments central to this approach.
“All of India’s actions are taken and will be taken with this in mind,” the ministry said.
On Venezuela, the MEA described the country as a long-standing component of India’s energy basket, with ties spanning both trade and investment. Indian public sector oil companies have partnered with Venezuela’s national oil company, PdVSA, and have maintained a presence in the country since 2008.
Venezuela was among India’s major crude suppliers until FY2019–20, before imports were discontinued following the imposition of international sanctions. Shipments briefly resumed in FY2023–24 after a partial easing of restrictions, but were halted again after sanctions were re-imposed.
Read
More: Russia backs oil trade with India, says energy ties ‘stable’ despite diversification talk
The MEA said India’s position on Venezuelan crude is consistent with its broader energy policy, which prioritises commercial viability and supply security. “Consistent with India’s approach to energy security, India remains open to exploring the commercial merits of any new crude supply options, including from Venezuela,” the ministry said.
The remarks come as global attention has returned to Venezuela’s oil sector, which holds the world’s largest proven crude reserves—nearly a fifth of global oil reserves—though production has remained constrained by sanctions, underinvestment and operational challenges.
Recent political developments, including US intervention that led to the removal of President Nicolás Maduro, have renewed expectations around the country’s oil exports, with Washington promising economic revival and improved living conditions for Venezuelan citizens.
Read More: US-India trade agreement: How India’s Russian crude oil imports could change
For India, the MEA signalled that any engagement will remain firmly anchored in market conditions, sanctions compliance and commercial considerations, reinforcing that diversification — not dependence — will continue to guide its crude import strategy.
/images/ppid_59c68470-image-177052252814468269.webp)
/images/ppid_a911dc6a-image-177052053041136787.webp)
/images/ppid_a911dc6a-image-177052056227442750.webp)
