Wait...
  1. Home >
  2. Export Import News >
  3. Import News >
  4. Government eases oil import rules as it seeks to cut costs >
  5. Government eases oil import rules as it seeks to cut costs

Online Export Import Data Search

Recent Searches: No Recent Searches
Complete Training Video : Click Here

Government eases oil import rules as it seeks to cut costs.


Date: 26-09-2018
Subject: Government eases oil import rules as it seeks to cut costs
The Indian government has for the first time allowed state refiners to buy 35 percent of oil imports in tankers arranged by the seller, a document reviewed by Reuters showed, enabling them to swiftly tap cheaper cargoes.

The move will help refiners in Iran's second-biggest oil market to boost purchases from alternative sources as US President Donald Trump prepares to halt Iranian oil sales through a new set of sanctions from 4 November.

The measure is part of a series of attempts by the world's third-biggest oil importer and consumer to cut its surging oil import bill in the face of rising oil prices and a weaker Indian rupee.

India had previously allowed state-refiners to buy only 15.48 percent of their estimated 118.15 million tonnes of oil imports in the current fiscal year to 31 March on a Cost, Insurance and Freight (CIF) basis, meaning the seller arranges the vessel and insurance. The rest was largely procured on a Free on Board (FOB) basis to help Indian shipping lines and insurers.

More than doubling the percentage of CIF cargoes the refiners can buy gives them much greater flexibility to take advantage of more speculative or distressed sellers who need to sell their oil quickly.

This also indicates that Indian refiners will be in a position to purchase more US oil, which is mostly available on a CIF basis, helping to compensate for the loss of Iranian oil supplies. US crude is currently trading at a discount of about USD 10 a barrel to the Brent global benchmark price.

"Basically that (the new higher limit) has increased flexibility (for us) to look at opportunities that are available around the world and buy most economic cargoes," said one source at an Indian refinery who asked not to be named.

"It was difficult for us to take advantage of the situation when traders or companies are going around with material in the ships," this source said.

India's shipping ministry told the country's oil ministry about the move in a letter dated 19 September.

"Advance NOC (no objection certificate) is now granted to oil marketing companies to further import crude up to 23.07 million tonnes (balance 19.52 percent)," it said.

Source: moneycontrol.com

Get Sample Now

Which service(s) are you interested in?
 Export Data
 Import Data
 Both
 Buyers
 Suppliers
 Both
OR
 Exim Help
+


What is New?

Date: 01-06-2020
Notification No. 08/2015-2020-DGFT
Amendment in Export Policy of Alcohol based Hand Sanitizers

Date: 01-06-2020
Public Notice No. 07/2015-2020
Amendments in the Appendix 3B, Table 2 of the Merchandise Exports from India Scheme (MEIS)

Date: 01-06-2020
Public Notice No. 09/2015-2020
Amendments in the Appendix 3B, Table 2 of the Merchandise Exports from India Scheme (MEIS)

Date: 29-05-2020
Circular No. 26/2020-Customs
Review of Circular No. 17/2020 dated 03.04.2020 namely, 'Measures to facilitate trade during the lockdown period- section 143 AA of the Customs Act, 1962'

Date: 29-05-2020
Notification No. 48/2020-CUSTOMS (N.T.)
Tariff Notification in respect of Fixation of Tariff Value of Edible Oils, Brass Scrap, Poppy Seeds, Areca Nut, Gold and Silver- Reg.

Date: 28-05-2020
Notification No. 07/2015-2020
Amendment in Export Policy of Paracetamol API

Date: 28-05-2020
Instruction No. 7/2020- Customs
Special drive for disposal of applications for fixation of Brand Rate of Duty Drawback.

Date: 27-05-2020
Notification No. 9/2020-Customs (ADD)
Seeks to levy definitive anti-dumping duty on imports of 'Electronic Calculators of all types excluding calculators with attached printers, commonly referred to as printing calculators; calculators with ability to plot charts and graphs, commonly referred to as graphing calculators; programmable calculators',originating in, or exported from, People's Republic of China for a period of five years, in pursuance of final findings of sunset review investigations issued by DGTR and in supersession of the notification No. 24/2015- Customs (ADD), dated the 29th May, 2015.

Date: 22-05-2020
Notification No. 47/2020-CUSTOMS (N.T.)
Appointment of CAA in case of in case of M/s Satnam Steels, Rajkot.

Date: 22-05-2020
PUBLIC NOTICE No. 06/2015-2020
Inclusion of Gopalpur Port, Odisha as a Port of Registration under Para 4.37 of Handbook of Procedures, 2015-2020.



Exim Guru Copyright © 1999-2020 Exim Guru. All Rights Reserved.
The information presented on the site is believed to be accurate. However, InfodriveIndia takes no legal responsibilities for the validity of the information.
Please read our Terms of Use and Privacy Policy before you use this Export Import Data Directory.

EximGuru.com

C/o InfodriveIndia Pvt Ltd
F-19, Pocket F, Okhla Phase-I
Okhla Industrial Area
New Delhi - 110020, India
Phone : 011 - 40703001