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India September crude imports hit 5-month high as business activity pick-up -Breaking

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© Reuters. FILE PHOTO – A worker uses a bike to commute at Mumbai’s Bharat Petroleum Corporation refinery on April 24, 2008. REUTERS/Punit Paranjpe

(Reuters) – India’s September imports hit a record five-month-high, according to government data. This was due to a rise in economic activity, and increased fuel demand.

According to the Petroleum Planning and Analysis Cell data, crude oil imports from the third-largest oil buyer and importer in the world rose 16% to 17.61 Million tonnes last year.

According to Edward Moya (senior market analyst, brokerage OANDA), “India’s September crude oils imports rose to their highest level since April. This is a sign of economic recovery continuing.”

Indian refiners expect crude demand to roar back, as driving picks-up and with expectations of strong international travel returning in November.”

Reliance Industries Ltd., which operates the largest refining facility in the world, imported almost 12% more oil than August.

Asia’s third-largest economy saw factories activity improve last month. Recovery is likely to continue at least for a few additional months, thanks in part to an ultra-easy monetary policy.

Monthly crude oil imports increased by 1.3% over August.

Data from earlier this month showed that fuel consumption and crude oil throughput at refineries increased in September compared to the previous month.

Exports increased about 3% and oil product imports rose by about 13%, to 3.50million tonnes.

The 2.79 million tonnes exported in September was 4.5% more than the previous year. This is 7.3% less than August’s 8.3 million tonnes.

India is a country with surplus refining capacities and can export refined fuels.

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