Indian Refiners Charter Tankers for Hormuz Crude as Middle East Imports Rise

Indian oil refiners are directly hiring tankers to cross the Strait of Hormuz to lift crude directly from the Persian Gulf, shifting to free-on-board arrangements to curb rising freight and insurance costs. Sinokor Group and Dynacom Tankers Management secured shipping contracts, while bids from Shipping Corp. of India and Lila Global were canceled. Refiners had previously avoided sending domestic tankers into the strait following security risks and tanker attacks. The shift comes as India's Middle Eastern oil imports reached 3 million barrels per day in September, while Iraq's SOMO offers October discounts of up to 37%.