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2.5 India ‘likely to resume taking Iranian oil exports’
India is likely to resume taking oil exports from Iran despite the US attempt to entirely drive Iranian crude shipments from the world oil market, sources close to the ruling Bharatiya Janata Party (BJP) claim, Indian media outlet ThePrint reported on May 28.
The Modi government, re-elected with a bigger mandate in the country’s parliamentary elections held in April and May, is to immediately initiate talks with Iran to discuss steps that will allow it to resume the oil imports, the sources were quoted as saying by the New Delhi-based publication. In recent years, India has been the second biggest importer of Iranian oil.
“The government is not keen on this [total US ban that started four weeks ago]. It is keen to resume imports, though the quantum will be limited,” a senior government official who didn’t wish to be identified was cited as saying.
He added that Iran’s Pasargad Bank, which holds a clearance from Indian authorities allowing it to operate in India and already has operational offices in the country, would be the oil payments processor.
“Payments can be deposited in the Iranian bank and then Iranian authorities can decide how to utilise the money,” the official said, adding: “Some talks [on these matters] were held earlier too but got stalled due to the elections... They will be revived, and this will be one of the first focus areas of the government.”
One item on the agenda is India’s suggestion that it pays for Iranian oil in rupees to help skirt US sanctions, which are sensitive to any use of the US dollar or financial system in business dealings with Iran. But paying in rupees is not alone likely to avoid triggering reprisals from Washington.
Iranian Foreign Minister Mohammad Javad Zarif met his Indian counterpart in India last week. Zarif is also busy trying to persuade the Chinese, the number one importers of Iranian oil, not to heed Washington’s demand that countries do not purchases of Iranian oil.
It is thought that Beijing’s decision on this matter may get tied up in the bargaining between China and the US on how to avoid an all-out trade war. Either way, China has made it clear so far that it does not look kindly on the US demand that it should bow to its long-range, unilateral sanctions. Meanwhile, Iranian efforts to export as much oil as possible through hidden grey market means continue.
2.6 Trump: ‘Toppling Iranian leadership not my aim and I think Tehran wants a deal’
US President Donald Trump on May 27 insisted his administration is not looking for regime change in Iran and indicated that he hoped Japanese Prime Minister Shinzo Abe could serve as a go-between and make progress in resolving the dispute between Tehran and Washington.
However, Trump has in recent weeks made all manner of different comments
8 IRAN Country Report June 2019 www.intellinews.com