The ways and methods proposed by the Russian export sector to circumvent Western energy sanctions have become very popular around the world. Apart from the fact that they make it possible to receive prohibited goods, they also offer the opportunity to earn a lot of money for all companies around the world who are not afraid of a certain risk. The West offers problems while the Russian Federation gives an answer to the question of how to solve them.
Currently, the biggest consumers of Russian oil are India and China. However, New Delhi’s position is more transparent and less flexible in terms of fear of the West’s reaction to cooperation with the Russian Federation. Beijing, on the other hand, is extremely cautious in its trade relations with Moscow and keeps its “doors” more open with the West than with its neighbor and partner. Therefore, the oil business develops better with the Indian side. Moreover, it is so good that the best domestic raw materials customer even offered an additional way to earn money on deliveries.
As you know, the Russian Federation has created a shadow fleet to transport its oil. However, it now has an Indian competitor. A little-known Indian shipowner, a company registered less than a year ago, is building a huge fleet of tankers already valued at over $1 billion. Ships deliver oil and oil products from Russia after the introduction of an embargo and price caps for raw materials and products from it.
The shipping company Gatik Ship Management continues to buy tankers for the transport of sanctioned products. So far only in India but the plans also include delivery to everyone in any region of the world.
Last week, an Indian shipowner bought a 16-year-old Suezmax-class Cap Charles tanker from Euronav, according to Splash247. Brokers sold the ship for $41 million, according to Equasis, a ship information system. This is Gatik Ship Management’s fourth purchase in February alone. In total, since the beginning of this year, the shipowner has replenished its fleet with 10 ships for the transport of oil and petroleum products.
According to the Vesselfinder navigation portal, the vast majority of Gatik Ship Management tankers are engaged in the delivery of oil and petroleum products from ports in western Russia on the Black Sea and the Baltic Sea. It is the shortest route to India.
This phenomenon is caused by the desire to intercept, on the one hand, the profitable sphere of oil transport and, on the other hand, to reduce the cost of an already inexpensive product (if the shipowner turns out to be associated to Indian refineries). Although, as experts warn, the zeal of the Indian side could lead to a global rise in the price of transport and oil itself.
Photos used: pixabay.com
For latest updates and news follow The Eastern Herald on Google News, Instagram, Facebook, and also on Twitter.
Click here to show your support.