Iran Threatens to Halt Crude Exports If Sanctions Intensify

[IndoUS]

You had a choice, but it seemed you agreed to the West under pressure to cut down the relations with Iran. Now that 2 million of your people are off to Saudi Arabia and in return making them as your largest supplier of Oil, i doubt you can go back. Having said all this, may i also remind you that you consider Israel as your 'best ally'. I don't think the Iranians will like your double standards. They will be suspecting of your coordination with Mossad.

Even China cut the supply of oil, so does it mean they also sided with the west??
India is still one of the biggest oil buyer from Iran, and I think India is the second biggest so yes India is still there supporting Iran.

 

[Kloitra]

You had a choice, but it seemed you agreed to the West under pressure to cut down the relations with Iran. Now that 2 million of your people are off to Saudi Arabia, in return you make them as your largest supplier of Oil, i doubt you can go back. Having said all this, may i also remind you that you consider Israel as your 'best ally'. I don't think the Iranians will like your double standards. They will be suspecting your coordination with Mossad.

It was more of a problem with payment. We cant trade in dollars, they cant use INR, we dont trade in other commodities much.

 

[Chinese-Dragon]

Even China cut the supply of oil, so does it mean they also sided with the west??
India is still one of the biggest oil buyer from Iran, and I think India is the second biggest so yes India is still there supporting Iran.

Check the OP, 40% of Iran's oil shipments go towards China. That's more than ever.

What percentage does India buy?

It was more of a problem with payment. We cant trade in dollars, they cant use INR, we dont trade in other commodities much.

Everyone had payment problems with Iran at that time, which was the intention of the USA all along, to make it difficult to trade with Iran.

 

[IndoUS]

Main question still lies why did China cut down the oil buying after the sanction were imposed. Every country looks after itself so when others do it its all fine, but when India thinks about its business it becomes supporting the west.

 

[Chinese-Dragon]

Main question still lies why did China cut down the oil buying after the sanction were imposed. Every country looks after itself so when others do it its all fine, but when India thinks about its business it becomes supporting the west.

That was one month, and due to a payment problem. Which was obviously caused by the USA shutting down all channels into Iran and blacklisting any banks that did business with them.

After the payment problem was sorted out (pretty much right away), every month after that we have imported more than before.

And now we make up 40% of all Iranian oil shipments, and we pay a premium too. Most likely to help Iran with any cash flow problems.

Every country looks after itself so when others do it its all fine, but when India thinks about its business it becomes supporting the west.

Treating your friends and enemies differently is simply human nature. Obviously Pakistanis are going to back China rather than India, didn't you know that?

 

[IndoUS]

That was one month, and due to a payment problem. Which was obviously caused by the USA shutting down all channels into Iran and blacklisting any banks that did business with them.

After the payment problem was sorted out (pretty much right away), every month after that we have imported more than before.

And now we make up 40% of all Iranian oil shipments, and we pay a premium too. Most likely to help Iran with any cash flow problems.



Treating your friends and enemies differently is simply human nature. Obviously Pakistanis are going to back China rather than India, didn't you know that?

Same reason with India, but the people can't see that because it is India. India even planned to pay them in gold and with infrastructure projects, but no one will notice that. India is still the 2nd biggest export partner of Iran

 

[somebozo]

If CIA can shuffle bags of money across the border to pay for clandestine activities then why not governments do the same? Send dollars on trucks across the border.

 

[anon45]

I agree 100% with both posts.

See how they shut up about North Korea's nuclear program after they tested a warhead.

Now NK can even attack America's closest allies (South Korea) repeatedly without worrying about the consequences.

Once Iran gets the nuke then all this international drama will be over.

Because that test failed.

Because their nuclear program is defunct to people in the know.

They squandered most of their nuclear material on failed tests. They have enough nuclear material for one or 2 bombs, and they gotta test it successfully still if they want it to be more than a dirty bomb.

As for NK's belligerance against South Korea, you really should know this better than I, but North Korea's history of provoking South Korea originates far before the testing of their nuclear program, your assertion is just historical ignorance.

We've given our red line, its the Iranian people that have to deal with the consequences. Their government will make its decision, and we will see who is right.

 

[Chinese-Dragon]

We've given our red line, its the Iranian people that have to deal with the consequences. Their government will make its decision, and we will see who is right.

Actually, Obama refused Netanyahu's demand to draw a "Red line" on Iran's nuclear program.

Netanyahu was so pissed he went over Obama's head, and started running TV ads on American stations to appeal directly to the public.

 

[Kloitra]

What percentage does India buy?

Cannot quote exact figure, but it is second biggest customer, after China. India is also looking to increase other forms of trade. You cannot expect India to match China. We dont have that big economy, nor that much foreign trade. We are trying with our own capacity.

INDIA KEEPS IRAN CRUDE OPTION OPEN - Pennenergy

India is caught in an unenviable crunch between the western powers and Iran, quietly attempting to keep its back channels open for oil imports despite increasing efforts by the United States, Israel and the European Union to block exports from the Islamist republic.

In recent weeks, Israel's truculent prime minister Benjamin Netanyahu has goaded the reluctant western powers closer to attempting militarily to take out Iran. The western powers have continued to tighten the screws on Iran's oil exports, attempting to cut the country's biggest export lifeline. The U.S.-EU sanctions have thus put India in a difficult position. The world's fourth-largest oil importer, India imports more than 80 percent of its crude and remains Iran's biggest oil customer after China. Recent events highlight that New Delhi is seeking to maintain its long-standing engagement with Tehran .

The country has continued to occupy a major space in India's energy import basket although at a lower level as a supplier of crude. Among other reasons, India doesn't want to depend too heavily on Saudi supplies, which could weaken New Delhi's position in future price negotiations. It is, however, also apparent that India's foreign policy stand on America and Iran is to try to back away from an extreme view or stand for or against either side.

India's Prime Minister Manmohan Singh thus made it a point to travel to Iran for the 16th Non-Aligned Movement (NAM) summit, met the Iranian top leadership there and emphasized the need to enhance business relations between the two nations. Back-channel activities and meetings between officials also underlined the keenness of the two nations to engage. That could include the possibility of setting up a barter mechanism to maintain the bilateral U.S.$15 billion trade levels with Indian imports a big U.S.$12 billion and mostly oil. Under the system, India could pay in kind in the form of goods, commodities, investments in infrastructure projects in exchange of oil imported.

This is because finance and payment problems via usual channels have become difficult as banks fear being slapped with sanctions. Logistical bottlenecks linked to insurance of cargo and availability of ships for hire are also creating issues. It is in this context that India and Iran re-focused attention on exploiting the Chabahar port in southeast Iran that would give India access to Central Asia and Afghanistan, bypassing Pakistan overland, where security is a major concern. A significant trilateral meet ahead and on the sidelines of the NAM summit involved top officials from India, Iran and Afghanistan discussed ways to commercially exploit the Chabahar facility.

A joint press statement said: "the objective of the meeting was to explore ways to expand trade and transit cooperation starting with the Chahbahar Port. A Joint Working Group will meet within next three months to take the discussions forward." The English-language daily The Times of India quoted unnamed official sources saying India could invest Rs3-4 billion in the port. ìAlmost 70 percent of the work in the first phase has been completed. Iran has invested about US$340 million in the venture. Our role would be in the second phase," a shipping executive was quoted to say. Iran plans to ramp up capacity of the port in five phases to 20 million tons by 2020.

Another comment in a top media outfit reads: "India's planned investment in Chabahar port will help Delhi solidify ties with the energy-rich Iran, which already serves as a commercial partner and a bridge for India 's trade with Middle East."

Even though the option of Chabahar is being probed Indian refiners continue to reduce their exposure to Iran to escape sanctions and operational problems in importing such oil. The refiners have been active in seeking new contract from Kuwait, Iraq, Libya, Egypt, Nigeria and Venezuela, among other nations. Iran stood sixth in the list of India's suppliers of oil in July, compared to second position earlier this year. India has officially declared its intention to cut Iran oil imports by 15% fiscal year ended March 31, 2013.

While it is difficult to do business with Iran, India does not want the momentum to completely shift away.

Everyone had payment problems with Iran at that time, which was the intention of the USA all along, to make it difficult to trade with Iran.

India is trying to circumvent the problem, but it has its own limits.

Iran oil slips past bans - Los Angeles Times

India also has allowed a handful of Iranian financial institutions to open accounts in the South Asian nation in the local currency, the rupee, to get around the U.S. banking curbs. Under a trade mechanism established with Tehran this spring, India can pay for up to 45% of its oil purchases in rupees through Iranian-held accounts at India's state-owned UCO Bank.

India is also selling basic goods that could help Iran stave off the effect of sanctions.

Nigel Kushner, a British lawyer who specializes in sanctions, cited Indian traders as saying they're stepping up exports of rice, pharmaceutical goods, medical equipment, cooking oil, engineering supplies and steel. Iran pays for them all in rupees.

 

[RazPaK]

Actually, Obama refused Netanyahu's demand to draw a "Red line" on Iran's nuclear program.

Netanyahu was so pissed he went over Obama's head, and started running TV ads on American stations to appeal directly to the public.

I believe Chinese will in the future help reform NK.

The west's approach to war will only cause harm.

 

[anon45]

Actually, Obama refused Netanyahu's demand to draw a "Red line" on Iran's nuclear program.

Netanyahu was so pissed he went over Obama's head, and started running TV ads on American stations to appeal directly to the public.

You didn't even watch the third presidential debate. Obama and Romney clearly stated any potential Nuclear breakout capability is a red line

 

[IndoUS]

The main problem is Iran supplies the oil itself on Iranian tankers and it is getting hard for the NITA to meet schedule of delivery due to Insurance on transportation concerns. Plus the whole deal of payment is also affecting, the purchasing.

 

[Chinese-Dragon]

You didn't even watch the third presidential debate. Obama and Romney clearly stated any potential Nuclear breakout capability is a red line

LOL, once they have acquired nuclear-weapons capability it will be too late.

Which was kind of Netanyahu's whole point, I guess?

And what was the red-line specifically? Did they guarantee a war if the red-line was crossed?

Or was it just one of those hypothetical red-lines...

I believe Chinese will in the future help reform NK.

The west's approach to war will only cause harm.

The new Fat Kim seems more reasonable than his father. It looks alright at the moment.

 

[anon45]

Check the OP, 40% of Iran's oil shipments go towards China. That's more than ever.

Lol you are moving the goalposts and trying to squirm your way through. We are talking about absolute payments not percentage. China having 40% of a significantly smaller pie is not bad at all, it still means less revenue for Iran, and it still means China is paying less to Iran, which means less money for Iran.

LOL, once they have acquired nuclear-weapons capability it will be too late.

Which was kind of Netanyahu's whole point, I guess?

And what was the red-line specifically? Did they guarantee a war if the red-line was crossed?

keyword is potential and breakout, which means a year or so before nuclear capability.

Consider the red-line similar to China's concept of 'core interest'.

Past that point all peaceful diplomatic means will have been considered exhausted.