Skip to main content

Why India Stop Importing Oil from Iran: What will be effects on Indian economy on this decision

Well Indian government take BIG  decision that Stop Importing Crude Oil from Iran:

 India will stop importing crude oil from Iran following the US move to end sanction waivers, and will use alternate supply sources such as Saudi Arabia to make up for the lost volumes, top officials and industry sources said Tuesday.
We all knowing that Until the waivers are not restored back, I don't think India can buy oil from Iran. We will stop importing oil from Iran.New Delhi is likely to press with the US government for continuation of beyond its expiry on May 2 in talks scheduled later this month, he said. "But purchases cannot be made in anticipation. We will not be importing any oil from Iran."
India was the second biggest buyer of Iranian crude oil after China. It bought some 24 million tonnes of crude oil from Iran in the fiscal ended March 31 (2018-19). Iran supplied more than a tenth of its oil needs. Well US want that India are stop importing Oil from Iran. 
Well its a really big decision taken by Indian government. The shortfall will be made from alternate supply sources available in Saudi Arabia, Kuwait, UAE and Mexico.
Oil Minister Dharmendra Pradhan in a tweet said "a robust plan for an adequate supply of crude oil to Indian refineries" is in place.

"There will be additional supplies from other major oil-producing countries; Indian refineries are fully prepared to meet the national demand for petrol, diesel & other petroleum products," he said.
The oil ministry too in a statement said a plan was in place to ensure supplies of crude oil from May when the waiver ends.
Indian Oil Corp (IOC) Chairman Sanjiv Singh said refiners import crude oil from a wide range of sources and had been lining up alternate supplies for the past months.
The US was to take a decision on waiver extension this month and Indian refineries had prepared plans for all eventualities. Now India are planning a new plans as well.
"We have alternate sources lined up to make up for any shortfall," he said.
US President Donald Trump last year withdrew from the 2015 nuclear deal between Iran and world powers, and revived a range of sanctions against the Persian Gulf nation. It, however, granted a six-month waiver from sanctions to eight countries - China, India, Japan, South Korea, Taiwan, Turkey, Italy, and Greece - but with a condition that they would reduce their purchases of Iranian oil.
The waiver began in November 2018 and was to expire on May 2. We hope that it it will not Indian economy and Indian peoples haswell.

India had agreed to restrict its monthly purchase to 1.25 million tonnes to get the waiver. But since it had made robust purchases in the period prior to November 2018, India's overall crude oil imports from Iran totalled nearly 24 million tonnes in 2018-19 as compared to 22.6 million tonnes bought in the 2017-18.
We have optional volumes (over and above the term contracts) from a number of suppliers which we can exercise to make up for any shortfall from Iran," Singh said. "We can also go to the spot (or current) market to source crude."

"As far as Indian Oil is concerned, supplies will not be a problem. We have already lined up alternate sources," he said, adding the impact of the US decision may reflect on global oil prices which may temporarily go up.
IOC has the option to take 0.7 million tonnes of crude oil from Mexico on top of its committed purchase of 0.7 million tonnes during the year. From Saudi Arabia, it has an optional volume of 2 million tonnes on top of a term contract of 5.6 million tonnes.

Labels:

Comments

Post a Comment

Popular posts from this blog

Why Democracy is strong form of govenment

      DEMOCRACY  :- The most Suitable form of government for India or any nation      Democracy means is the government of the people, by the people and for the people. In other word equal right for all. The head of the government has the same right which the commen man has. Some facts about democracy:-      1. Well India is largest democracy country . Their are many culture religion and class but they all have equal right . Example voting right.      2. Almost all the country of the world are now adopt democracy . Well this system provide many right and autonomy to general public. They get power to chose their leder.     3. Well it deduces gender discrimination in society. In this way all get equal right which given by democracy to general public and the feeling of  being united in having equal right and opportunity.      4. People able to protest if they feel any injust...
Post a Comment
Read more

Brain Drain :- Not A Bane for India

                  BRAIN DRAIN   Brain drain is a term used for the emigration of well-educated and skill professional from their home country to another country. Well most obvious is the availability of better job opportunity in the new country.   Main Reasion :-     1. Well their are no better job opportunity that why many people are going to another country. Well their are many several reasion like slow economic growth and, like of investment and poverty etc.    2. Brain drain are found under developed country. Mostly those country are less oppountunity to provide sufficient job to general people according to their profession status. They are found those status and good oppountunity to another country.   But with developing country like India, brain drain is not such a big bane :-       1 . India is fast developing country well many industry are grow themself and create ...
Post a Comment
Read more
Well now risk-free insurance, mutual fund products are offer by Paytm Payment Bank in this year in the month of June: MD         Well in this year Paytm Payment Bank planning to launch risk free insurance   and  mutual fund products  by June this year, In this decision campany enter new market and play a game the company's MD and  CEO  Satish Kumar Gupta  said Wednesday.         In this situation company are offer scheme which maybe benefical for general people  of the country.  Well company "have got approval from the RBI very recently."We are working with our partners... It would be a good business stream of revenue generation for us. We are planning to launch the services within the first quarter of the current fiscal... we will launch the services before June," Gupta told  PTI  on the sidelines of the bank's branch opening here.     As on date, the  Paytm ...
Post a Comment
Read more