India offers gas export to Pakistan

Discussion in 'Economy & Development' started by karan.1970, Mar 21, 2012.

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  1. Nothing
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    Nothing FULL MEMBER

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    To every who don't understand what is actual proposal ..

    Lets start with simple example..

    Iran which has second largest oil reserve used to import Petrol till last year and they had shortage of it and started rationing of petrol ..

    who told India don't export energy products , Reliance industries alone exported refined products worth at $29.3 billion last year ..

    It is all about having something and having capability to process it .. same as India don't produce diamonds still we are one of the largest exporter of it ....

    so stop spinning your head ...

    Now on the point ..

    Right now India is operating 4-5 LPG terminals and planning to build another 2 in Gujarat .

    What is LPG terminal - "Liquefied natural gas is used to transport natural gas over long distances, often by sea. In most cases, LNG terminals are purpose-built ports used exclusively to export or import LNG"

    Pakistan don't have one at home so they are paying more for it.. and getting it from any other country which is far from Pakistan is costly and time consuming .. where Gujarat if next to Pakistan and it has 2 LPG terminals and 2 is coming so it can supply it to Pakistan via pipeline (very short distance and less time to implement so cost effective and region is stable so no worry abt some one bombing it )..

    so got the point .. thought we don't produce it we have excellent capability to process it, we have refineries which are export only .. means all out go for export to other countries...
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  2. Zeeshan360
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    Zeeshan360 FULL MEMBER

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    ^^ Nicely explained bro

    I was going to give the same example of Reliance
  3. mr42O
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    mr42O SENIOR MEMBER

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    hmm if India has gass to export why they need gass from Iran than ?

    Its because of cheap labours and ppl working like slaves in diamond industry.

  4. kingkobra
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    kingkobra SENIOR MEMBER

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    dude the post you quoted has all your answers....but no one can help you if you are empty up there....
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  5. Hello_10
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    Hello_10 BANNED

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    Sir, there are few things in world which don’t have name of the country who is exporting. These are Gold, Petrol/ Diesel, Gas, Diamond, Silver, Copper, Iron and other minerals etc. if you want to buy these stuffs, you would just find the ‘cheapest’ supplier and get these things, if it is required. No matter from which countries India imports oil/ gas, gold, diamond etc type things, if you can get these things at a cheaper rate from India, especially in this case which may supply gas/ oil to Pakistan within months through border and fulfill the immediate need, you would just go for it :tup:. Rest, there are many trade items like manufactured goods for which Pakistan may think whether they want to import expansive items from West or they want the same type of stuffs from China/ India with cheaper prices. In fact, they would try to build their own industries for the manufactured stuffs which they import from China and also from India to an extent. :meeting:



    India considered all the aspects of importing gas through IPI or from Turkemanistan via TAPI route but it was found, they won’t go for it. The first reasons were the ongoing troubles in Baluchistan on IPI line route and second the Pakistan’s north west states which are on TAPI route and NATO is bombing there. I remembered, in 90s, Indian side wanted the Iran to commit the gas supply on the Indian border and ask for the price of the gas India will get on its border, regardless how Iran does it. But Iran never accepted to commit and they were stick on guarantee of supplying gas till Iran-Pakistan border only and rest the responsibility would go on Pakistan, how they may ensure its supply through their land. Iran struggles with their own Baloch separatists, they never wanted to commit for the things which may happen to over 500km long pipeline through Baluchistan. With these, there was also a group of Indian strategic think tank who worried for any conflict between India and Pakistan which may also interrupt the energy supply, they had recent Kargil war in 1999 and also war type situation in 2002 also. :coffee:

    And the second most important thing which discouraged IPI and TAPI pipelines were the economic factors. It was argued, if India has to give $1.0bn to Pakistan as transit fee and even if it may cost $3.0bn more on maintenance side through deep water gas pipeline from Iran, it is still beneficial to go for sea route. As, if you give $3.0bn to your own workers for maintenance of gas pipeline via sea then they will also pay direct taxes and then they will spend their money in home country itself, means more indirect taxes. It will first employ your own workers and also will keep the money inside the country which will then be circulated in different business activities of India itself, its the money you give to your own civilians for the maintenance of gas pipeline through sea route. It was found, paying $1.0bn to Pakistan as a transit fee would be a ‘net loss’ and it will have same effect on economy if India pay $3.0bn to its own workers for extra maintenance cost for gas pipeline through sea route :agree:

    But yes, the world doesn’t stop here. If we move forward then we will find many opportunities in future. Trade link to Afghanistan and Central Asia though Pakistan always attracted India but we have to liberalize the bilateral trade first and then we would move for the next steps :tup:
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  6. ziaulislam
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    ziaulislam SENIOR MEMBER

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    it doesnt make sense...they dont have enough gas for their own ...it make some sense in refined oil as they refine much more oil but gas?


    by the way the total proven reserves in pakistan are 1.3 TBCF vs 1.8 of india..meaning per capita we have much much more gas..though we use zero caol and only gas..

    lastly we are taking gas out from sindh only 70% vs merely 25% from balochistan, even though its baluchistan which has huge potential but nearly all of it has nt been cleared for liscensing!!!!
  7. cloud_9
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    cloud_9 SENIOR MEMBER

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    Those gas terminals are to unload gas bought from other countries.India is not offering you gas from India'n reserves but we will be merely selling you the gas we import.For e.g if India imports two tankers in a week for personal consumption if Pakistan agrees we will get 1 more tanker for Pakistan's need's.
    The catch is Pakistan will get gas at cheaper rates and we will get money in the form of fee's for unloading and transporting it to Pakistan.Currently the pipeline is not used to it's full capacity because there is not much demand yet,so the pipeline company want's to offset it's cost by transporting gas for Pakistan:D

    It's just like fare sharing!
  8. Fulcrum15
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    Fulcrum15 MODERATOR

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    Apparently, in Seoul, Manmohan Singh offered Gilani 5000 MW electricity on an urgent basis, and Gilani accepted the offer, and Pakistan are going to write a formal reply in coming days after consultations.

    5000 MW can do some good for the time being.

    Good move by India, hope Pakistan also obliges, have the differences finally been put apart? Atleast some of them?
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  9. Nothing
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    Nothing FULL MEMBER

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    Read post #46 .. you will get your answer...