What is Iranian crude oil import trading in India?

It is the business of sourcing crude oil directly from Iran under the US Treasury's 30-day OFAC waiver (issued March 2026), aggregating purchases, and selling to Indian refineries, fuel retailers, and power plants at a markup. The waiver applies to sea purchases and deliveries for nations outside the exclusion list (Cuba, North Korea, Crimea), making India eligible. This is a time-bound arbitrage play lasting until 19 April 2026.

How much does it cost to start Iranian crude oil import in India?

₹15–30 crore for an MVP: OFAC compliance legal team (₹1–2 crore), DGFT/RBI licencing and due diligence (₹50 lakh), commodity trading platform and back-office (₹2–3 crore), working capital for first shipment LC (₹10–20 crore), insurance (₹2–4 crore). Smaller brokers can start at ₹5–8 crore by leveraging existing refinery relationships and outsourcing logistics.

Is Iranian crude oil import profitable in India?

Yes. At 50,000–100,000 barrels/month at ₹200–400/barrel margin ($2.50–5/barrel), monthly revenue ranges ₹10–40 crore. With logistics and advisory fees, annual EBITDA can reach ₹80–150 crore. However, profitability is contingent on the waiver extension beyond 19 April 2026 and geopolitical stability. Current crude price volatility (₹5,500–6,200/barrel in March 2026) amplifies margin opportunity.

What regulations apply to Iranian crude oil import in India?

OFAC Licence from US Treasury (mandatory for all Iran transactions); DGFT Hazardous Chemicals Rules 1989 (crude oil classification); Petroleum Rules 1976 (storage and handling); GST 5% on crude imports; Customs Act 1962 (import duties on crude); RBI Liberalised Remittance Scheme (LRS) for LC issuance; CIF invoicing under IEC; Oil Industry Development Board (OIDB) coordination for strategic reporting to Ministry of Petroleum.

Iranian Crude Oil Import Business India 2026 — Guide

AI SummaryIranian crude oil import trading is a ₹8,000–12,000 crore annual opportunity in India, unlocked by the US Treasury's 30-day OFAC waiver (effective March–April 2026) that permits sea-based crude purchases for Indian refineries and energy traders. Middle East geopolitical tensions are driving crude price volatility (₹5,500–6,200/barrel), creating ₹200–400/barrel arbitrage margins for licensed importers. Energy traders, refinery procurement heads, and commodity brokers with OFAC compliance expertise can capture ₹10–40 crore/month in March–April 2026 before the waiver expires; success depends on rapid regulatory approval and first-mover advantage in securing Iranian supplier contracts.