OPEC and India hold high-level bilateral consultation

Vienna, Austria, 24 June 2021--OPEC Secretary General, HE Mohammad Sanusi Barkindo, met with HE Dharmendra Pradhan, India’s Minister of Petroleum and Natural Gas and Minister of Steel, to discuss oil market developments.

The videoconference was held as part of the Secretariat’s regular consultation programme and outreach activities with oil consuming countries, as well as other producers and industry stakeholders. The discussions were part of the constructive relationship between OPEC and India, one of the world’s largest oil consumers.

Today’s consultations focused on exchanging views and reviewing the conditions of the global oil market, emerging trends related to energy, the recovery prospects for the world economy and other topical issues.

Secretary General Barkindo, in his remarks, outlined how dialogue and cooperation continue to be instrumental in OPEC’s work to reach its founding mission, which is to ensure a secure and stable supply of energy for the benefit of producers, consumers and the global economy at large.

The Secretary General recognized the leading role played by Minister Pradhan in enhancing the bilateral relations between India and the Organization.

“Your leadership in fostering transparent and constructive discussions has brought an important new dimension to the long tradition of OPEC’s regular high-level meetings and technical cooperation with leading oil-consuming nations,” he said.

On oil market developments, the Secretary General highlighted the improving outlook for the world economy and the global oil market. OPEC’s Monthly Oil Market Report for June projected the global economy will grow by 5.5 per cent and oil demand will rise by 6 mb/d in 2021.

The Secretary General additionally underlined the strategic role of the Declaration of Cooperation (DoC) in overcoming two global oil cycle downturns in 2015 and 2016, and in 2020, the latter caused by the COVID-19 pandemic. He noted that Participating Countries have set up solid mechanisms to contribute to the return of oil market stability, including meeting on a monthly basis to review market conditions.

In his remarks, the Secretary General quoted India’s Mahatma Gandhi, who said: “With every true friendship, we build more firmly the foundations on which the peace of the whole world rests.”

Minister Pradhan highlighted the importance of affordable and regular supplies of energy to drive economic and social progress, noting that his country is a major consumer and importer of oil. He also stressed that all forms of energy will be needed to address India's growing energy needs.

The Minister, citing the growing cooperation between India and OPEC over the years, said: "We regard OPEC as a vital energy partner,” expecting the ongoing cooperation to continue going forward. He noted that the ongoing cooperation comprises high-level dialogue and collaboration on the technical level.

The Minister also thanked OPEC Member Countries, including the Kingdom of Saudi Arabia and United Arab Emirates, for providing medical support during India' recent surge in COVID-19.

Since its founding, OPEC has endeavoured to promote dialogue, multilateralism and international cooperation by establishing platforms to actively engage with various industry stakeholders, including India. These efforts culminated in the First High-Level OPEC-India Energy Dialogue, which was held in New Delhi in December 2015.

The bilateral ties have grown since then. The latest OPEC-India Energy Dialogue, the fourth, was held via videoconference on 5 November 2020. The next dialogue meeting is expected to take place later this year.

The cooperation between OPEC and India extends to the technical and research levels. India will contribute to the upcoming 15th edition of OPEC’s World Oil Outlook (WOO) by co-authoring a full chapter on the Indian oil sector and relevant issues.

OPEC regularly interacts and engages with producing and consuming nations and organizations, including the EU, the Russian Federation and China, in the interest of supporting sustainable oil market stability.

HE Mohammad Sanusi Barkindo, OPEC Secretary General

HE Mohammad Sanusi Barkindo, OPEC Secretary General

 HE Dharmendra Pradhan, India’s Minister of Petroleum and Natural Gas and Minister of Steel

HE Dharmendra Pradhan, India’s Minister of Petroleum and Natural Gas and Minister of Steel

The meeting was held via videoconference

The meeting was held via videoconference