In the first nine months of this year, India's oil exports to the European Union (EU) shot up by 58%. This spike has raised eyebrows, as much of this oil is processed from Russian crude — the very oil the EU banned following the Ukraine conflict. This intriguing shift is part of a complex dance of energy politics, where India, a top global oil consumer, has found itself profiting from a loophole in the sanctions.

According to the Centre for Research on Energy and Clean Air (CREA), a thin...