India Buying Iranian Oil, No Payment Issues: Government Clarifies

The Indian government denied reorts of payment issues in Iranian crude imports, confirming that refiners are purchasing oil from Iran. It said tanker route changes are normal in global trade and assured that India’s oil supply remains fully secure.

Post Published By: Karan Sharma
Updated : 4 April 2026, 3:47 PM IST
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New Delhi: Recently, reports surfaced suggesting that an oil tanker bound for India from Iran had diverted toward China due to payment-related issues. However, the Ministry of Petroleum and Natural Gas (MoPNG) has now refuted these reports. The government has categorically stated that India is indeed purchasing crude oil from Iran and that there are absolutely no issues regarding payments.

What Did the Government Say?

According to the government, India has fully secured its oil requirements, including purchases from Iran. Through a social media post, the Ministry clarified that the claims regarding payment issues mentioned in certain reports are incorrect and constitute mere rumors.

Iranian Oil Tanker Bound for India Changes Course to China

Clarification regarding route change

While questions were raised regarding the tanker's diversion toward China, the government stated that such occurrences are a routine part of international oil trade.

A vessel's destination often changes. The port listed on the Bill of Lading is not necessarily the final destination. Routes may be altered for commercial and operational reasons. In other words, a change in a tanker's route does not necessarily indicate a problem.

From Where Does India Purchase Oil?

According to the government, India imports crude oil from over 40 different countries. Oil companies enjoy complete autonomy to procure oil from various nations based on their own requirements and discretion.

Has Oil Importation from Iran Resumed?

India had ceased purchasing oil from Iran in 2019 following the imposition of U.S. sanctions. Now, following a recent sanctions waiver granted by the U.S., Indian refiners are once again exploring opportunities to purchase Iranian oil. This is being viewed as a significant development for India.

Government's Assurance Regarding Supply

The Ministry further stated that India's oil requirements for the coming months remain fully secured. Additionally, the supply of LPG from Iran continues uninterrupted. A ship recently arrived in Mangalore, carrying approximately 44,000 tons of LPG.

Why is this statement significant?

This statement is significant because it dispels rumors circulating in the market, boosts confidence regarding India's energy security, and demonstrates that supplies remain uninterrupted despite the global crisis.

According to the government, India need not be concerned regarding its oil supplies. Purchases from Iran are continuing, and there are no issues related to payments. The rerouting of tankers is part of a standard commercial process, rather than an indication of any crisis.

Location :  New Delhi

Published :  4 April 2026, 3:47 PM IST

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