India, the world's third largest oil consuming and importing nation, in July bought USD 2.8 billion worth of crude oil from Russia, second only to China which remains the largest importer of Russian oil, a report said.

Russia emerged as India's biggest supplier of crude oil, which is converted into fuels like petrol and diesel in refineries, after Russian oil was available on discount following some European nations shunning purchases from Moscow over its invasion of Ukraine in February 2022.

Imports from Russia, which were less than one per cent of the total oil imported in pre-Ukraine war period, now make up for almost 40 per cent of India's total oil purchases.

China bought 47 per cent of Russia's crude exports, followed by India (37 per cent), the EU (7 per cent), and Turkey (6 per cent), the Centre for Research on Energy and Clean Air (CREA) said in a report.

Not just oil, but China and India also bought coal from Russia.

"From 5 December 2022 until the end of July 2024, China purchased 45 per cent of all Russia's coal exports followed by India (18 per cent). Turkey (10 per cent), South Korea (10 per cent) and Taiwan (5 per cent) round off the top five buyers list," it said.

CREA however did not provide absolute numbers for imports.

China was the largest buyer of Russian fossil fuels in July, accounting for 43 per cent (Euro 6.2 billion) of Russia's monthly export earnings from the top five importers. Crude oil comprised 63 per cent (Euro 3.9 billion) of China's imports from Russia.

In July, China's global import volumes of seaborne crude (40.2 million tonnes) dropped to their lowest levels since February 2023. Seaborne crude imports from Russia (4.3 million tonnes) also dropped to their lowest levels since December 2022 and may be linked to reduced processing margins for refineries amidst low fuel demand.

"India was the second-largest buyer of Russian fossil fuels in July. Almost 80 per cent of India's imports (valued at Euro 2.6 billion or USD 2.86 billion) comprised crude oil," the report said.

India, which is more than 85 per cent dependent on imports to meet its oil needs, spent USD 11.4 billion in July on import of 19.4 million tonnes of crude oil, according to official data.

In July, the discount on Russian Urals grade crude oil widened by 9 per cent month-on-month to USD 16.76 per barrel compared to Brent crude oil. The discounts on the ESPO grade and Sokol blends remained relatively stable and modest at USD 4.23 per barrel and USD 6.11 per barrel, respectively.

According to CREA, 36 per cent of Russian seaborne crude oil and its products in July were transported by tankers subject to the oil price cap. The remainder was shipped by 'shadow' tankers and was not subject to the oil price cap policy.