India plans to more than double its oil imports from the United States next year and would negotiate concessional terms for oil supplies during the expected visit of US President Donald Trump next month.
President Trump would be accompanied by a high-level official and business delegation, including CEOs of top oil-producing companies. This would be used to negotiate better terms for US oil imports, diplomatic sources told IANS.
A discount of $2-4 per barrel on American oil to Dubai crude makes it cover higher freight costs. The India side would also negotiate for a higher credit period of 60-90 days that would bring import cost of US oil at par with Iranian oil.
“The shipment of US oil to India has already increased over the past two years and we may end up importing close to 10 million tonnes (mt) in the current fiscal year.