Home / Business and Economy / India Boosts Diesel Exports Amid Iran Tensions
India Boosts Diesel Exports Amid Iran Tensions
31 Mar
Summary
- India's diesel exports surged 20% in March due to favorable crack spreads.
- Petrol exports declined 33% as refiners prioritized LPG production.
- Reliance Industries accounted for 75% of India's refined fuel exports.
India's diesel exports saw a substantial 20% month-on-month increase in March, reaching 12.90 million barrels. This surge is attributed to favorable crack spreads, the difference between crude oil and refined product prices, which widened significantly due to geopolitical tensions in West Asia. These tensions have particularly benefited diesel and jet fuel margins over gasoline.
In contrast, India's petrol exports fell by 33% in March. Refiners are redirecting hydrocarbon streams towards increased liquefied petroleum gas (LPG) production, a move necessitated by disruptions in Gulf supplies. Despite record global market cracks for jet fuel, India's jet fuel exports saw a minor 4% decrease.
Overall refined product exports declined by 8% to 31 million barrels in March. Reliance Industries played a dominant role, accounting for 75% of India's total refined fuel exports. Export duties have been imposed on diesel and jet fuel to ensure domestic supply.
