India agrees to supply Pakistan with Petrol

thakur_ritesh

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A good move.

Slowly and steadily trade needs to take precedence. For a change pretty much all of Pakistani political parties are on board on the issue, and even the PA is not causing any hindrance, best time to make deep inroads through trade.

With the growing bonhomie, it is also the time to be extra vigilant on security.
 

Mad Indian

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Hmm. Making them buy everthing from us, specially if it is not subsidised will make us dependant on their exports no?

This is the reason Chicoms will think ten times before doing anything stupid Vis a Vis USA. So i think this is a stupid move, specially when our own needs are not met.
 

p2prada

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Hmm. Making them buy everthing from us, specially if it is not subsidised will make us dependant on their exports no?
The exporters must learn to distribute their business across various countries. Sanctions always hurts the importer. An exporter can always find a new market, especially one as small as Pak.

This is the reason Chicoms will think ten times before doing anything stupid Vis a Vis USA. So i think this is a stupid move, specially when our own needs are not met.
We are not the aggressors in the Indo-Pak context. Peace is more beneficial to us since we are the ones who control the valley. Long lasting peace is even more beneficial. Just 3 or 4 years of peace has done a lot of good in Kashmir, imagine 3 or 4 decades.
 

Blackwater

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A good move.

Slowly and steadily trade needs to take precedence. For a change pretty much all of Pakistani political parties are on board on the issue, and even the PA is not causing any hindrance, best time to make deep inroads through trade.

With the growing bonhomie, it is also the time to be extra vigilant on security.
pakistan is sapola(snake kid) if u offer milk to him now he will definitely bite when he is adult.

in other words. Pakistan is in deep shit. it will ask or do anything for its survival.once he is ok then will show true green colors ..
 

p2prada

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The Pakistanis are also looking at importing locomotives from India. After the dismal performance of the China made locomotives it is obvious that they would look to India for their engine needs.

I think they are planning on launching a tender for 150 locomotives while planning on leasing some 50 locomotives directly from India in the mean time.

http://www.hindustantimes.com/India...engines-Railways-says-no/Article1-756250.aspx

Rail diplomacy between India and Pakistan seems to be going offtrack. The Indian Railways remains cool to Pakistan's proposal to take 50 train engines on lease from India. "Domestic demand remains high. Any commitment to Pakistan at this stage would mean a compromise on domestic

requirement," said Rajeev Mehrotra, managing director of Rail India Technical and Economic Services, which supervises overseas operations.
According to news reports from Islamabad, Pakistan has decided to lease 50 railway engines from India to restart defunct services. The decision was taken at a meeting chaired by its railway minister, Ghulam Ahmed Bilour, last month, Urdu daily Jang reported. Bilour reportedly said Pakistan needs 200-300 locomotives.

Over 300 of Pakistan Railways' 500 locomotives are out of order, leading to a loss of Rs 25 billion a year, authorities said.

In India, railway officials are not in favour of the deal with Pakistan, for the "corporate risk" it entails. "Relations with Pakistan being what they are, there will always remain the apprehension that India will not get its money back," a railway ministry official said.

The officials also said they had received no official communication on the proposal while external affairs ministry officials said they had "no idea".

The Indian Railways has 4,214 electric and 6,000 diesel engines. Two hundred engines roll out of each of its two public sector manufacturing units every year. It is massively short of its Vision 2020 target of 1,200 engines annually.

But despite this, tenders for the supply of engines to Bangladesh and Myanmar are currently being processed.
 
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panduranghari

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This is what I am talking about. Make them dependent on us. Have them buy everything from us, including the kitchen sink. Someday nearly everything they have must have a Made in India tag on it.
But this petrol is likely to be used against us, why not starve them of petrol but supply other things. Not that we are self reliant about petrol any way.
 

p2prada

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But this petrol is likely to be used against us, why not starve them of petrol but supply other things. Not that we are self reliant about petrol any way.
Petrol is more or less useless for the military. They need kerosene and diesel.

Selling refined products is more lucrative than selling crude oil. Why would we miss out on this? We can buy extra crude, refine it and sell it outside at international rates. It is a win win for all.

It makes sense for Pak to purchase petroleum products from us because they can cut down on transport costs easily as compared to purchasing from Saudi or Oman.

India has a lot of extra capability for refining. Courtesy Reliance.

Reliance Increases Fuel Exports in August, Shipping Data Show - Bloomberg
Reliance Increases Fuel Exports in August, Shipping Data Show

Reliance Industries Ltd. (RIL), owner of the world's biggest refining complex, increased exports last month from its plants on India's west coast to at least 2.4 million metric tons of oil products, shipping data show.

Reliance, controlled by billionaire Mukesh Ambani, runs two refineries in Gujarat state. They can process heavy grades of crude and have a throughput of as much as 1.24 million barrels a day, accounting for about 1.6 percent of global refining capacity, according to the company's website.
We buy crude oil from the Middle East and sell them refined products at many times the cost. Reliance exports to the US and Europe as well. Pakistan is just one country to be added. It makes no difference to IOC or Reliance if Pakistan wants to buy stuff from us because of their small market. But it makes a very big difference to Pakistan.

Welcome to Ministry of Petroleum&Natural Gas
Current refining capacity.

Reliance alone generates enough fuel for India/day let alone IOC, HP etc combined. What I mean is our capacity today exceeds domestic requirements. So, why will they not export for larger profits?
 

panduranghari

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Thank you for that. The more you read, the more you realise you do not know near enough.

Of course we should make profit. Profit over everything else at least in relation to Pakistan is a winning strategy for India.
 

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