India’s imports of Venezuelan crude are set to reach their highest level in almost seven years in October, as steep discounts attract refiners while Russian supplies become costlier. Deliveries are expected to more than double to about 465,000 barrels a day, from 196,000 barrels a day in September, according to an estimate by Kpler.

If all scheduled cargoes arrive on time, October imports would be the highest since December 2019. All Venezuelan cargoes bound for India list Sikka as their destination, the port used by Reliance Industries for its Jamnagar refinery complex, which is the world’s largest refining facility. At least two tankers are scheduled to arrive on India’s west coast on October 31, although actual flows could vary.

India resumed buying Venezuelan oil in February after an almost yearlong pause, following the lifting of US sanctions after the ouster of former leader Nicolás Maduro. Meanwhile, imports from Russia, India’s biggest crude supplier, have declined as prices have risen, with its flagship Urals grade loaded in the Baltic reaching a wartime high.

Venezuela’s Merey crude is selling at a discount of about $16 a barrel to ICE Brent, while freight to India’s west coast adds approximately $33 a barrel, according to traders. Russian Urals, by comparison, is trading at a premium before shipping costs. Moscow’s share of India’s crude imports fell to about 35 per cent in September, from as high as 56 per cent in July, Kpler data showed.

The discount helps offset the longer voyage from Venezuela and the processing challenges associated with Merey, a dense, high-sulfur crude. Reliance’s Jamnagar complex is equipped to handle such barrels, but rising tanker rates could make the increase difficult to sustain. Kpler expects October deliveries to be closer to 350,000 barrels a day if some vessels do not discharge before the month ends, while the heavy crude may not be suitable for continuous or substantial processing at every Indian refinery.