India Expresses Concern on Raising Oil Prices in a Meet with OPEC Ambassadors

Dharmendra Pradhan, the Minister of Petroleum & Natural Gas and Skill Development & Entrepreneurship today met with the Ambassadors from OPEC countries to India. The timing of the meeting comes at a crucial time when the global crude oil prices are at the highest since the peak of 2014.

India has a strong engagement with the OPEC countries and top 8 suppliers of crude oil to India are OPEC Member countries. The block accounted for about 83% of India’s total crude oil imports, 98% of our LPG imports and 74% of our LNG imports during the last financial year.

During the meeting Minister Pradhan expressed his concern about rising crude oil prices and its negative impact on consumers across the world, particularly in India. He emphasized that globally crude prices have gone beyond the threshold which can be sustained by the world. He highlighted that market fundamentals do not support such high prices.  He urged the OPEC Ambassadors to convey the message to their respective Governments regarding the need to move to responsible pricing, one that balances the interests of both the producer and consumer. He reiterated the issue of discriminatory pricing through measures such as Asian Premium. Minister urged the move to transparent and flexible markets for both oil and gas.

Minister is scheduled to visit Vienna next week from 20-21 June 2018 to participate in the 7th OPEC International Seminar to further discuss these key issues with Mr Sanusi Barkindo, Secretary General of OPEC and Ministers from OPEC member countries who will also be attending the Seminar.