The blockade of shipping in the Strait of Hormuz has disrupted global crude oil supply routes. As a result, demand for Russian crude oil has increased and is reported to be in surplus.
Accordingly, the price of Russian-produced ‘Urals’ crude oil supplied to Indian ports by Russian suppliers has surpassed the price of the international Brent index for the first time in history, market sources say.
International Brent oil prices have increased by 25% since last week due to the disruption of fuel transportation through the Strait of Hormuz. Accordingly, a barrel of Brent crude oil has now risen to US $ 89. But the price of Russian Ural crude oil supplied to Indian ports has increased by 50%, surpassing that increase. Due to this situation, India will have to raise oil prices soon, according to sources in the country.
However, the profits of Russian oil exporters have not increased compared to the increase in oil prices. This is because transportation costs have increased significantly.