What is the impact of US sanctions on India's trade with Venezuela?

US sanctions have caused India's trade with Venezuela to collapse, significantly reducing crude oil imports and overall bilateral trade.

How much has India's crude oil import from Venezuela decreased?

India's crude oil imports from Venezuela decreased by 81.3% in FY2025 compared to FY2024.

Will the recent US military operation in Venezuela affect India?

No, the recent developments in Venezuela are expected to have a negligible impact on India due to existing sanctions and low trade volumes.

Home / Business and Economy / India Unscathed by Venezuela Crisis: Trade Plummets

India Unscathed by Venezuela Crisis: Trade Plummets

4 Jan

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Summary

India's trade with Venezuela has significantly declined due to sanctions.
Crude oil imports from Venezuela dropped 81.3% in FY2025.
The US military operation in Venezuela will have negligible impact on India.

India Unscathed by Venezuela Crisis: Trade Plummets

India's trade relationship with Venezuela has seen a dramatic downturn, with bilateral trade now considered marginal. Crude oil imports from Venezuela experienced an 81.3% decrease in FY2025, falling to USD 255.3 million from USD 1.4 billion in FY2024. This significant drop is a direct result of US sanctions that have curtailed India's engagement with the South American nation since 2019, compelling a reduction in oil purchases and commercial activities to avert secondary sanctions.

Exports from India to Venezuela remain modest, totaling USD 95.3 million in FY2025, with pharmaceuticals accounting for USD 41.4 million. The Global Trade Research Initiative (GTRI) founder Ajay Srivastava stated that the recent US military operation in Venezuela, which led to the capture of President Nicolas Maduro and his wife, will have a negligible impact on India. This is primarily because India was already a major buyer of Venezuelan crude in earlier decades, but engagement has weakened considerably.