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India's Oil Exports Set to Soar by 2026
10 Jul
Summary
- Refining capacity to reach 98.05 MMTPA by December 2026.
- Potential to boost export share to 15% of total revenues.
- Expansion strengthens India's role as a global refining hub.
Indian Oil Corporation is undertaking its largest-ever expansion, set to be completed by December 2026. This initiative will increase its refining capacity to 98.05 million metric tonnes per annum, a substantial rise from the current 80.75 MMTPA. The expansion primarily targets the Panipat, Vadodara, and Barauni refineries, with their capacities increasing significantly.
This capacity addition is projected to enhance India's petroleum product export share, potentially reaching 15% of total revenues. While domestic demand remains the priority, the surplus production is anticipated to bolster foreign exchange earnings. The expansion also reinforces India's standing as a key global refining center.
India's refining sector, already substantial, currently exports approximately 61.5 million tonnes annually. With IOCL's new capacity coming online, much of this incremental output is expected to be channeled to international markets, supporting refining margins amid global supply dynamics.
