Tanker freight rates for transporting Urals crude from Russia’s western ports to India climbed further in late September and early October, following a sharp surge in oil loadings last month, according to industry sources.
Despite U.S. tariffs on Indian goods for continuing Russian oil imports, Indian refiners have maintained steady purchases. Crude shipments from Russia’s western ports, Primorsk, Ust-Luga, and Novorossiisk rose by 500,000 barrels per day in September, reaching a record 2.5 million bpd, largely due to unplanned refinery maintenance within Russia.
Freight costs for transporting Urals crude from Russia’s Baltic ports of Primorsk and Ust-Luga to India have risen to about $7 million for Aframax tankers loading in late October, up from $6–6.5 million in late August to mid-September, according to industry sources.
According to Reuters, rates from the Black Sea port of Novorossiisk on Suezmax tankers have also increased to $6.2–6.5 million, compared with roughly $6 million a month earlier. Both “shadow fleet” tankers and Greek shipowners remain active in transporting Russian oil.
On October 1, the G7 finance ministers announced plans to tighten measures against countries and entities facilitating Russian oil trade. Soon after, France detained the tanker Boracay, carrying 100,000 tons of Urals crude from Primorsk to India, as part of a European effort to curb Moscow’s war revenue. President Emmanuel Macron called the move part of a broader strategy to block Russian funding, while President Vladimir Putin condemned it as “an act of piracy.”
Freight rates remain significantly higher than in January 2025, when shipments from Baltic ports to India cost between $4.7 million and $4.9 million per voyage.
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