In the first quarter of 2024, Nayara Energy, a private fuel retailer, experienced a substantial 48% increase in petrol sales, reflecting a strategic shift towards fulfilling the rising domestic demand. During this period, the company reduced its fuel exports to accommodate the growing needs within India.

Nayara’s Vadinar refinery in Gujarat saw 70% of its petroleum products being sold locally from January to March 2024, according to a company statement. The focus remains on serving India’s energy requirements through direct sales, partnerships with other oil companies, and its retail outlets.

In detail, local petrol sales soared to 0.89 million tonnes in the first quarter of 2024, up from 0.60 million tonnes in the same period the previous year. Diesel sales remained steady at approximately 1.7 million tonnes.

Emphasizing its role in supporting India’s energy consumption, Nayara Energy remarked, “We are committed to meeting India’s energy demands and will continue to be a reliable partner in this regard.”

The company noted that the first quarter is pivotal due to increased economic activity linked to the harvest season. Despite India's limited crude oil production, which is crucial for making fuels like petrol and diesel, the country possesses a surplus refining capacity. Data from the Oil Ministry indicated that while domestic consumption was 233.3 million tonnes, production reached 276.1 million tonnes in the 2023-24 period.

A notable shift was observed in Nayara’s gasoline export strategy. The percentage of gasoline exported dropped significantly from 37% in the first quarter of 2023 to 11% in the same period in 2024, underscoring the company’s commitment to prioritizing local demand.

Nayara’s export destinations remain focused on Africa, Southeast Asia, and the Middle East, with no automotive fuels being exported to Europe. Out of the total 1.53 million tonnes exported, gasoil accounted for about 0.95 million tonnes. The company highlighted that over the past five years, exports to the European Union have been minimal.

The domestic market for petrol and diesel in India grew by 5.3% from January to March 2024, with total consumption reaching 32.3 million tonnes compared to 30.7 million tonnes in the same period the previous year. This increase was driven by an 8.4% rise in petrol consumption and a 4.1% rise in diesel consumption.

“Nayara Energy remains dedicated to supplying the energy that powers the aspirations of our customers, partners, communities, and employees,” the statement continued.

Nayara Energy contributes significantly to India’s oil refining sector, producing around 8% of the country’s output with its 20 million tonnes per year Vadinar refinery.

Alessandro des Dorides, CEO of Nayara Energy, affirmed the company’s ongoing commitment to supporting India’s growing energy needs by maintaining a strong presence in the domestic market.