Iran sanctions: India in touch with all stakeholders

India Will Import Iranian Oil; In Talks With EU Over Payment Option

India Will Import Iranian Oil; In Talks With EU Over Payment Option

The Trump administration is now in talks with India on issues related to Iranian sanctions.

India's attempts to attain an exemption from US sanctions against Iran have not succeeded.

Given the above issue, South Korean companies did not cut their trade and business cooperation with the Iranian economic enterprises in sanctions period, the ambassador reiterated.

Iran is India's third-largest oil supplier behind Iraq and Saudi Arabia.

At present, Indian companies are using Euro payment mechanism of the State Bank of India and Germany-based Europaeisch-Iranische Handelsbank AG.

He said that a ministerial meeting of JCPOA signatories, excluding the United States, on the sidelines of the upcoming United Nations General Assembly meeting could take "us to newer stages".

The port facilitates access to Afghanistan by bypassing Pakistan and is also a vital link in the International North-South Transport Corridor.

Among the financial pathways under discussion in Brussels and other capitals: Devising an alternative - free from USA influence - to the current electronic system used to transfer money from place to place, European officials told NBC News.

As the United States sanctions on the import of crude oil from Iran looms large, India is in touch with both Iran and the U.S. on the complicated matter.

"We are in touch with all stakeholders in the matter", Kumar said.

India has also been hoping that the USA will give it some relief from the sanctions.

India has already begun shipping wheat to Afghanistan through this new port.

Two industry sources also told Reuters Thursday that India will settle payments for Iranian oil using rupees through local banks starting in November as the sanctions will make it hard to settle trades through European banks. Some sanctions took effect from August 6 while those affecting the oil and banking sectors will start from November 4. India had planned to import about 25 million tonnes of crude oil from Iran in the current fiscal, up from 22.6 million tonnes imported in 2017-18.

However, despite its actions, Washington will not succeed in stopping Iranian oil exports, experts say, nevertheless, the decline will be felt as the Iran's economic crisis worsens. SBI has told refiners it would stop handling Iran payments from November.

But the actual volumes imported may be far less as companies like Reliance Industries have totally stopped buying oil from Iran and others too are scaling it down in hope of winning a sanction waiver from the US.