India emerges as the top buyer of Venezuelan crude oil in December, and January

Syllabus: GS-III

Subject: Economy

Topic: Trade and External sector

Issue: Venezuela Oil Imports.

Context: India became the top buyer of Venezuelan crude oil in December 2023 and January 2024 after a three-year break.

Synopsis:

• Venezuela was one of the major crude oil supplier for India.
• This changed when the United States of America imposed sanctions on Venezuela.
• Since then till recently Venezuela’s crude oil to India reduced.
• The US eased sanctions on Venezuela’s oil sector in October 2023 for six months.
• Venezuela offers discounts, benefiting Indian refiners amid volatile oil markets.

Data Point:

• World’s largest known oil reserves from highest to low are –
  1. Saudi Arabia
  2. Venezuela
  3. Canada
  4. Iran
  5. Iraq