Diversifying the Oil supply needs: India Russia biggest ever oil deal.

In recent advancements, India has signed a deal with Russia for the supply of crude oil. This is significant in many ways. India’s Reliance Industries and Russia’s Rosneft have signed a 13 billion dollar deal for the supply of crude oil with this deal India has done its largest oil deal with Russia.

Committing to supply about 500000 barrels per day of crude oil for 10 years. This deal comes forward amid China’s economic slowdown and Russia is now mainly focusing on growing the Crude oil market India being one of the biggest oil markets.

This deal constitutes about 0.5 percent of the global crude supply. So how it is going to change the market situation for other players?

Now the Sanctions have already been imposed on Russia from the West, but still, India went for the deal as one of the boldest steps and at the same time new Trump administration is taking charge.

India may benefit from the discount of about 3-4 dollars per barrel, but is the move a welcoming step for the West especially among the lot sanctions?

Impact of this deal on OPEC+ countries:

OPEC+ is the organization of the Petroleum exporting countries and other oil-producing countries. Its main goal is to control the global oil supply.

Now Russia is among the leaders of the group. With this deal, Russia has side-lined other OPEC+ members.