New Delhi, Sept. 22 -- Crude sourcing flexibility, along with the ability to process "diverse grades" are set to become key drivers of profitability for Indian refiners, particularly amid geopolitical disruptions and sharp regional price differentials, according to a report by Yes Securities Institutional Equities.

According to the report, the country is heavily dependent on crude oil imports. With domestic production declining to 28.0 mmt in FY26 from 28.7 mmt in FY25, India's import dependence rose to 88.7 per cent from 88.2 per cent. However, Indian refineries processed 272 mmt of crude at an average utilisation of 106 per cent, widening the gap between domestic production and refinery requirements.

At the same time, "Crude imports i...