The Daily Journal — As escalating conflicts in the Middle East severely disrupt crude oil flows through the Persian Gulf and the Red Sea, Indian refineries have begun testing Venezuelan crude as a strategic alternative to secure the country’s energy supply, according to a report published by ETEnergyworld.com.
An increase in Houthi attacks on commercial vessels in the Bab el-Mandeb Strait, along with the disruption of key shipping routes, has pushed Brent crude prices above US$100 per barrel. That situation has prompted Indian energy companies to reduce their dependence on the conflict zone and seek supplies from more distant regions, including South America.
“We have diversified our crude sourcing beyond the Strait of Hormuz by exploring multiple regions, including two new grades of crude from Venezuela and Angola,” said Vetsa Ramakrishna Gupta, Chief Financial Officer of the state-owned Bharat Petroleum Corp.
The geopolitical shift reflects the loss of access to several preferred crude grades located “on the other side of the Strait of Hormuz,” forcing refiners to process less familiar grades to keep operations running.
“We had to make decisions based on availability rather than optimization,” said Vikas Kaushal, chief executive of one of the refining companies, referring to the impact on long-term supply contracts that had relied on crude from the Persian Gulf.
As a result, Venezuelan crude has emerged as a key resource to ease logistical pressures across Asia, as tankers that bypass the Red Sea must sail around Africa, adding as much as one month to their voyages.
Venezuela ranked as India’s fourth-largest oil supplier in June 2026, shipping an average of 292,000 barrels per day (bpd). That volume accounted for 6% of the Asian country’s total crude oil imports.
