India's base oil imports fell by 15pc on the year in April because of tightening overseas supply due to the US-Iran war, data from Global Trade Tracker (GTT) show.
- Asian refiners' run rates were impacted by feedstock supply disruption from the Middle East. Refinery yields declined further, especially for the heavy grades, because refiners switched to lighter and sweater crude alternatives. Several refiners also reduced term supply allocations.
- Refiners sought higher prices due to low inventories and elevated crude and gasoil prices. Lower Indian cfr import prices compared with other regions disincentivised refiners from offering cargoes to India. Producers diverted volumes to markets such as Asia-Pacific, the US, Europe and Latin America, where prices were higher.
- The UAE was one of India's key suppliers, but exports dwindled in April given the effective closure of the strait of Hormuz.
- Imports from Taiwan rose significantly, likely reflecting diverted cargoes originally bound for the UAE, which became inaccessible after the start of the war.
- Imports from Egypt rose sharply, because blenders turned to alternative supplies. Imports from Egypt are typically irregular. The country largely produces Group I grades, but these imports were likely re-exports of Group I grades with a low-viscosity index (LVI) from another region, according to market participants.
| Indian base oils imports | t | ||||
| Apr'26 | m-o-m ± % | y-o-y ± % | Jan-Apr'26 | y-o-y ± % | |
| South Korea | 141,523 | 47.2 | -8.0 | 477,011 | 21.2 |
| Taiwan | 24,837 | 1,138.1 | 24,254.0 | 54,917 | 69.5 |
| Saudi Arabia | 20,701 | -1.9 | -21.9 | 53,889 | -25.8 |
| Egypt | 15,647 | N.A. | 5,065.1 | 15,647 | 5,098.3 |
| Spain | 15,522 | 641.3 | 34.7 | 39,662 | 24.0 |
| Singapore | 15,435 | -71.4 | -53.6 | 131,361 | -6.8 |
| Monthly total | 254,848 | -6.9 | -14.5 | 1,043,681 | 9.4 |
| Total includes all countries, not just those listed | |||||
| Source: GTT | |||||
