India’s trade with Iran jumps 66% as crude oil imports resume after seven-year hiatus
India's trade with Iran rose 66% year-on-year in the first five months of 2026, driven by the resumption of Iranian crude oil imports that exceeded $700 million, according to data from India's Ministry of Commerce and Industry reported by Tasnim news agency.
Total bilateral trade reached $1.42 billion in the January-May period, up from $851 million a year earlier.
India's exports to Iran fell 18% year-on-year to $471 million during the five-month period, from $574 million a year earlier.
Imports from Iran, however, surged 342% to $949 million from $277 million in the corresponding period of 2025, largely due to purchases of Iranian crude oil.
India imported a $430 million cargo of Iranian crude in April and another cargo worth $276 million in May, bringing its total crude oil purchases from Iran to $706 million in the first five months of 2026.
India, which was once forced to abandon Iranian oil under US sanctions, turned back to Tehran in April, with an oil tanker carrying Iranian crude heading to the Asian country for the first time since May 2019. After the US-Israeli aggression on Iran began on Feb. 28 and traffic through the Strait of Hormuz was disrupted, Washington issued a waiver allowing India to purchase oil and gas from Russia and Iran, both under US sanctions.
While New Delhi has also returned to discounted Russian crude, a move that previously prompted tariffs from US President Donald Trump, its renewed purchases of Iranian oil mark a significant shift in India's energy supply.
Rice was India's largest export to Iran during the January-May period, with shipments valued at $342 million.