India, Feb. 4 -- India's crude oil sourcing strategy has come under renewed scrutiny ahead of the announcement of key parameters of the proposed India-US trade agreement. Top Government sources on Tuesday said India would continue to procure crude oil from countries that are "not under sanctions," indicating there has been no immediate change in policy.

The clarification followed President Trump's assertion that Prime Minister Narendra Modi had agreed to halt imports of Russian oil and instead ramp up purchases from the United States and "potentially, Venezuela." The Government has so far refrained from publicly endorsing or rejecting the US president's remarks, adopting a cautious diplomatic stance. India is currently the world's second...