Mindful of the impact of Western sanctions,
India’s biggest oil importer has increased imports from Iraq at the expense of
Iranian crude. Hindustan Petroleum Corporation Limited (HPCL) has virtually slammed the
door on Iran for crude oil imports during 2013-14.
“Because of the sanctions the U.S. and the European Union imposed on Iran… there is no crude-lifting contract with NIOC for 2013-14,” said a statement by HPLC. (The Hindu, 28 July)
“Because of the sanctions the U.S. and the European Union imposed on Iran… there is no crude-lifting contract with NIOC for 2013-14,” said a statement by HPLC. (The Hindu, 28 July)
HPLC’s existing contract with Iraq’s State Oil
Marketing Company (SOMO) for 2.25 million tons (45,000 barrels a day) of Basra
light crude has been revised to 3 million tons (60,000 barrels a day). HPLC has
also added a 50,000 barrels a day contract for 2013-14 with Saudi Arabian Oil
Company (Saudi Aramco).
File photo: Iran's Kharq Oil Terminal (Getty Images)
Iran and India poised for economic and trade windfall in Afghanistan and Central Asia
ReplyDeleteKABUL: Afghanistan hopes an agreement with Iran to use one of its ports will help boost exports to Europe and India and reduce its dependence on neighbouring Pakistan’s ports for trade, which has been harboring the Taliban.
According to the spokesperson for Afghanistan’s Ministry of Commerce and Industries, Iran will allow land-locked Afghanistan to use the port to export goods like fruit and carpets to India and other countries.
“We want to export to central Asia and Europe, India wants to use the port to send goods to Afghanistan,” Wahidullah Ghazikhel said.
Afghanistan currently relies on the port of Karachi in Pakistan for the bulk of its sea exports. Afghans resent Pakistani meddling in their nation and have long strived to free themselves from dependency of a terrorism infested Pakistan.
But that leaves traders vulnerable to political disputes between the United States and Pakistan, which has closed its border with Afghanistan at least twice over recent years, cutting U.S. military supplies to Afghanistan, as well as routine trade.
“If the Pakistani government’s relationship with the United States goes bad, this impacts our traders,” Ghazikhel said.
In the most recent disruption on the Afghan-Pakistani border, private transport companies were banned from moving Afghan goods to Karachi, delaying containers for about three months.
Not only did the contents, including milk and eggs, spoil, but companies were also charged a total of $10 million for renting storage space for their delayed containers, he said.
“We are very interested in exporting to European countries and working on other ways (that avoid Pakistan’s port),” the spokesperson said.
Millions of dollars have been invested in companies that aim to export “premium” fruit such as pomegranate, prized by the health-conscious in Europe, Asia and the Middle East.
Afghanistan also exports many other types of fresh and dried fruit, saffron and carpets. But although it sees agriculture as a driving force in its economy, Afghanistan continues to rely on imports for most of its food.