Petroleum minister M Veerappa Moily would like to import 11 million tonnes of Iranian crude in this financial year.
The oil cartel's decision to maintain the production ceiling at its 2016 level, despite the recovery of the world economy, will ensure shortfalls in supply and high oil prices in the foreseeable future, warns Ambassador D P Srivastava.
India on Tuesday sought to downplay the United States's decision of exempting it from economic sanctions for cutting the oil imports from Iran, saying it was a "decision taken by the Obama Administration under its domestic law."
India on Tuesday sought to downplay the United States decision of exempting it from economic sanctions for cutting the oil imports from Iran, saying it was a "decision taken by the Obama Administration under its domestic law."
What stood out in his 15-year journey as a member of the political executive at the Centre was his glowing record as India's most successful and effective finance minister. Both as prime minister and finance minister, he understood the importance of gradualism, except when the economy or the polity was in a crisis.
An obscure Indian bank has been an unlikely beneficiary of Western sanctions against Iran, handling billions of dollars from frozen oil payments that boosted its interest margins, but is now having to prepare itself for life after the windfall.
New Delhi has reached out to Moscow while waiting for a new president in Washington. New Delhi knows well that in international relations, there are no permanent friends or foes, only permanent national interests, points out Dr Rup Narayan Das.
India's pharmaceutical exports to Iran have been hit owing to depleting rupee reserves in the West Asian country because of India stopping the import of crude oil from it in 2019 following US sanctions. Pharmaceutical exports dropped 71.25 per cent in April-August this year over the same period last year. The data from the Pharmaceutical Exports Promotion Council (Pharmexcil) showed exports to Iran had declined 31.29 per cent in 2022-23 as against the previous financial year.
The UN Security Council has passed three resolutions to fortify Iraq's sovereignty, scrapping nuclear sanctions imposed during the Saddam Hussein reign and ending the controversial oil-for-food programme of the 1990s
"Today I have made the determination that seven economies -- India, Malaysia, Republic of Korea, South Africa, Sri Lanka, Turkey and Taiwan--have all significantly reduced their volume of crude oil purchases from Iran," Secretary of State Hillary Clinton said in a statement.
Official sources said the two leaders will meet for around four to six hours for the 'agendaless' talks
Buyers find ways to cope with shipping restrictions.
Ahead of a meeting of oil producers' cartel OPEC, India on Tuesday said the current oil prices are "very challenging" and rates need to be a "little bit sober" lest they impact a consumption-led recovery of the global economy. Oil Minister Dharmendra Pradhan, who last week again urged OPEC to phase out its production cuts, said India is a price-sensitive market and it will buy oil wherever it gets competitive rates. The rebound in international oil prices from lows hit last month on the back of demand recovery has led to a spike in petrol and diesel retail prices in India.
Immediately on its return from the July 4th holiday recess, an angry Republican dominated US House of Representatives has lashed out against the Obama administration for providing India and several other nations waivers from sanctions for cutting its oil imports from Iran, and threatened to take legislative action to rebut the administration's reprieve to these nations, by passing tough new sanctions.
The US has slapped sanctions against a number of international companies and individuals for evading sanctions against Iran and for providing support for its contentious nuclear programme.
India's Iran imports rise to 276,800 bpd vs 195,600 bpd in 2013.
Russian President Vladimir Putin on Thursday held talks with Prime Minister Narendra Modi to further boost cooperation between the two strategic partners in crucial sectors like defence, energy and trade at a time when Russian economy was facing Western sanctions.
The White House has warned lawmakers that tightening sanctions on Iran could push the US on a "march to war" and derail a diplomatic push to limit Tehran's nuclear programme.
Besides IOC, ONGC Videsh Ltd has also sought two discovered fields from the 16 fields that Iran is likely to put on auction shortly
China is also providing supertankers and insurance coverage to move Russian Urals crude to PRC ports, as Moscow seeks vessels for exports after a G-7 oil price cap restricted the use of Western cargo services and insurance.
Officials from India's biggest private refiner recently visited Iran to chalk out the details for resumption of trade ties with Tehran.
Finance Minister Nirmala Sitharaman on Thursday said India has ramped up the import of crude oil from Russia at discounted prices amid sanctions on Moscow as part of the country's inflation management. "In a situation where global prices were going beyond anyone's affordability, at that stage to take a very strong political decision, I respect the prime minister for his courage on this to get it from Russia because they are ready to give it to you at discount. And how speedily did we manage to do it," she said. India ramped up its import from Russia from about 2 per cent of the total shipment of petroleum products to 12-13 per cent in a couple of months as part of inflation management, she said at a seminar organised by economic think-tank Icrier.
A massive drone strike on the world's largest crude-processing facility operated by Saudi Arabia's Aramco has driven oil prices to their highest level in nearly four months. The attack has knocked out over half of Saudi Arabia's production as it cut 5.7 million barrels per day or over 5 per cent of the world's supply.
Geo-political reasons are to be blamed for spike in global oil prices, he says.
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Iran has complained of irregular shipments
The reimposition of sanctions on Iran will have major impact on countries like India, with which it has traditional and historic trade relationship.
Indian imports of Russian oil plunged by a record in August month-on-month (M-o-M) as discounts on the fuel shrank in tandem with rising Brent oil prices. Higher crude prices will drive inflation or hurt earnings at oil companies and India's fiscal position if such spikes are not passed on to consumers. Indian purchases of Russian crude declined by around 24 per cent in August from July to the lowest level since January, with refiners expecting volumes to drop further amid rising rates of Russian benchmark Urals grade, substantial stocks at refiners, and planned maintenance at Indian refineries, according to ship tracking data and industry officials.
Turkey's state-run Halkbank can only resume processing Indian oil payments to Iran once Western sanctions are officially lifted following an interim deal in Geneva last month, a senior Halkbank official said on Wednesday
Amid reports claiming America has threatened India with sanctions if it does not reduce its Iranian oil imports by June end, United States officials on Friday said Washington and New Delhi are having "productive conversations" on the issue and termed the reports as "highly speculative".
With Iran reaching an agreement on its nuclear programme, India is expected to be one of the major gainers.
While the tournament saw the emergence of young stars, the usual suspects, the big names flattered to deceive.
Replacing Iran, which is India's third largest oil supplier behind Iraq and Saudi Arabia, will not be a problem but margins will be hit as Tehran offers the best commercial terms
Teheran bargains on OilMin plan for more rupee payment via increased import; wants investment deal on gas block.
The surge in oil prices has also affected the rupee, which hit a 6-week low of 70.25 on Friday against the dollar.
India will need to travel back in time and seek inspiration from football greats Tulsidas Balaram and Chuni Goswami to deftly dribble around and sidestep the West-imposed price cap on exports of Russian seaborne crude oil. India depends on imported oil to meet 86 per cent of its needs, of which nearly a quarter now comes from Russia. The copious flows are roughly 10 per cent cheaper than competing suppliers helping India save billions of dollars in fuel costs.
Low fuel prices to help oil marketing and refining sectors but upstream players will stay under pressure.
Oil prices dipped on Wednesday as the market prepared for a gradual increase of Iranian exports into an already oversupplied market from 2016.
Indian Oil Corporation (IOC), the nation's top oil firm, has bought as much as 3 million barrels of crude oil that Russia had offered at steep discount to prevailing international rates, sources said. The purchase, made through a trader, is the first since Russia's February 24 invasion of Ukraine that brought international pressure for isolating Putin administration. Sources aware of the matter said IOC bought Urals crude for May delivery at a discount of $20-25 a barrel to dated Brent.
Brent crude was trading at $105 a barrel on Friday while US oil was at $96.75.
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