The US indicated on Friday that India's purchasing crude oil at a reduced price from Russia would not violate US sanctions, but would suggest support for Russia's invasion of Ukraine. According to government officials, India's lawful energy transactions should not be politicised, and countries that are self-sufficient in oil or import from Russia cannot credibly urge restricting trade.

As the United States and other Western countries imposed sanctions on Moscow, Russia began supplying discounted oil and other goods to India and other large buyers.

According to sources, the Indian Oil Corporation (IOC), the country's largest oil company, has already purchased up to 3 million barrels of crude oil from Russia at a big discount to current international prices.

White House Press Secretary Jen Psaki said on Tuesday that it would amount to support for a Russian invasion. She clarified that it would not be a violation of American sanctions on Russia, which has invaded Ukraine with reports of serious human rights violations.

Russia is not one of the top ten oil suppliers to India. Imports from Russia account for less than 1% of the country's total demand. The rise in oil costs as a result of the Russia-Ukraine conflict has exacerbated the situation, and there is increasing pressure for competitive sourcing. Russia and India have no government-to-government agreements in place to buy Russian crude oil.

Arindam Bagchi, External Affairs Ministry spokesperson, did not rule out buying discounted crude oil from Russia, stating that as a significant importer of oil, India considers all possibilities at all times.

India is heavily dependent on imports to meet its energy needs. Almost 85% of our crude oil requirements (5 million barrels per day) must be imported.

 India has not backed Russia's aggression against Ukraine and has urged all stakeholders to settle their differences via discussion. It did remain absent from voting in the UN's resolutions against Russia.

"We will be pleased to take crude oil and other items from Russia at a steep discount," an official added. India imports the majority of its oil needs. It imports oil products from Iraq, Saudi Arabia, and the United Arab Emirates. It has also begun importing from the United States, which supplies 7.3% of India's need.

Iran was India's second-largest oil supplier before the US withdrew from the nuclear deal and reinstated restrictions on its oil exports. Iran's ambassador to India stated that the country is ready to meet India's energy needs as talks between global powers and Iran on removing sanctions against the country continue.

Various countries around the world, particularly in Europe, are buying Russian oil and gas. OECD Europe accounts for 75% of Russia's total natural gas exports (Italy, France, and Germany). European countries (Poland, Romania, Lithuania, the Netherlands, Italy, and Finland) are also significant importers of Russian crude oil.