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    India to consider price cap on Russian crude if supplies from Venezuela, Iran are assured: Reports

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    India to consider price cap on Russian crude if supplies from Venezuela, Iran are assured: Reports

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    India will consider backing US' proposed price cap on Russian crude only if supplies from Venezuela and Iran are assured, reports suggest while Petroleum Minister Hardeep Singh Puri has said a decision would eventually be taken based on the country's needs and national interest.

    India will consider backing the United States' proposed price cap on Russian crude only if supplies from Venezuela and Iran are assured, according to reports.
    Petroleum Minister Hardeep Singh Puri said on Monday the nation would carefully assess whether to support a G-7 proposal to impose a cap on the price of Russian oil. “There are many conversations going on due to a large number of factors,” Puri told CNBC International at Gastech 2022 in Milan, Italy.
    An Economic Times report, on the other hand, said that given India’s dependence on imports for crude needs, it can not accept a situation where prices rise due to restricted supplies while a limit is applied to cheaper sources.
    When Puri was asked if India would sign up for the G-7 proposal to put a price cap on Russian oil, he said the world economy was still adjusting to the impact of the COVID-19 pandemic and Russia’s invasion of Ukraine.
    "Therefore, India will have to see how the G7 proposal on price cap will be implemented and who will be on board as it was still unclear which countries would take part in the proposed price cap on Russian oil and the moves’ possible implications for energy markets," Puri said.
    The G7 proposal to cap the price of Russian oil comes at a time when China and India scaled their crude purchases at discounted rates from President Vladimir Putin's country following the Kremlin’s invasion of Ukraine.
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    Puri, however, noted that India consumes around 5 million barrels of oil per day, largely coming from Iraq, Saudi Arabia, Kuwait and the United Arab Emirates. Russia accounted for just 0.2 percent of India’s oil imports at the end of March, the Petroleum Minister said, even as he acknowledged the criticism India faced for increasing its supply of Russian oil following the Ukraine invasion.
    Puri said that the country would eventually take a decision to sign up for the price cap on Russian crude based on its needs and national interest.
    Meanwhile, oil prices slipped early on Tuesday, paring the previous session's 3 percent gain, as a deal among members of the Organization of the Petroleum Exporting Countries and its allies (OPEC+) to cut output by 100,000 barrels per day in October was seen as a largely symbolic move to stem the market's recent slide.
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