Iran oil supply : Issue resolved

[SADAKHUSH]

No matter what reason behind it, it is not right that receiving your purchase without paying it.
Why did not GOI just tell Iran to halt their supply from the day they deceided to stop the pay? Isn't that kind of fraud?

It is not necessary for you to comment just for the sake of saying. One should read the complete facts before forming your opinion otherwise you just expose your level of intelligence(I.Q. and E.Q).

The fraud is being commited by your industries and costing innovative companies hundred of billions of lost revenues. Counterfitting is called fraud. Do you get it. What you need to counterfit is mentallity of advanced countries. Now go and drink some green tea and sleep well.

If you don't pay what you buy, that is kind of 'steel'. And we don't steel others resources, we steel only technology, which I am very proud of: it saves us billions of dollars and years of time.

Why not devote some time and read the news release word by word that will save you from embarrassing yourself. Silence is golden. How smart is it to implicate your self and feel proud about it. I guess you have thrown the ethics and morality out the window. Techonology is also a resource created by human inguenity who are creative thinkers and not by lazy slobs.

In the SCS you are trying to steal natural resouces which do not belong to you. That is for another thread.

 

[sandeepdg]

If you don't pay what you buy, that is kind of 'steel'. And we don't steel others resources, we steel only technology, which I am very proud of: it saves us billions of dollars and years of time.

I take it that you understand English, so before making dumb comments next time, read the details of the thread thoroughly and then post your comments ! 5 billion dollars is peanuts for us, we never hold up oil payments, unless there is something that we can't control like in the current case, where all banking channels have been blocked due to sanctions.

Last, I heard, you people want to unseat Uncle Sam as the enforcer in Asia, so why don't we see any Chinese help or suggestions every time there is an issue in Asia among Asian countries ?? Ever thought about that ?

 

[Tshering22]

Well, the Bull-headed mullas in Iran need to come to the 21st century from the 7th century. Halting oil to us will only give the Arabs a bigger hand and more contracts for oil, Iran therefore losing a big time customer in the region. With Saudi agreeing to double the quantity of oil usually supplied, Iran will only continue to lose more.

It would be better if Iranians rose against the current idiotic fairy-tale regime of Iran and came back to today from 7th century Arabia. By segregating themselves from the entire planet in their quest for retaining the "Revolutionary" rule, the mullas are losing friends faster than anybody could ask "how?".

How the fvck are we supposed to pay when Iran won't accept US$, get sanctioned from European Union's Euros and REFUSE to accept Rupees? Have any of their idiotic rulers ever thought of that?

 

[sukhish]

If you don't pay what you buy, that is kind of 'steel'. And we don't steel others resources, we steel only technology, which I am very proud of: it saves us billions of dollars and years of time.

you are the man, I simply can't argue with you. and how the heck are we suppose to pay for oil. U.S is putting a gun on our head on this one. I know china won't listen to what U.S says. But India does, so that why this issue is little more difficult to resolve.

 

[thakur_ritesh]

No matter what reason behind it, it is not right that receiving your purchase without paying it.
Why did not GOI just tell Iran to halt their supply from the day they deceided to stop the pay? Isn't that kind of fraud?

wonder have you ever done trade within china or internationally?

trade has a component called credit worthiness. credit worthiness gets build upon looking at the kind of purchases one does and the payment patterns. the better trade and payment patterns, the better credit worthiness.

so is the case here and rest assured, had there not been any US angle here, iran even after not getting its payments for 6months wouldnt have stopped the supplies, because india has never ever in its history faulted on payments. we have always found ways and means to payback. another point, india never forced iran to make the supplies for all these 6months, remember.

its a tussle between iran and the US that we are caught in, along with our indecisiveness, and had the iranians been confident that we will not bend to the US pressures there was absolutely no reason to stop the supplies. fault our indecisiveness but not on how trade happens, and the rules of it, because none what so ever were violated. and sadly it is because of this indecisiveness that we have on many occasions left voids to be filled by others and then we regret later. as Yusuf said in another thread, its our half hearted measures that create problems for us in diplomacy.

since we are discussing trade, a smart businessman is one who does business on others money with least or no interest paid on that amount.

 

[ejazr]

Well as expected the Saudis have come through in a big way sending over 3 million barrels for the month of August.

Saudi to sell more crude after Iran cuts supply - The Economic Times
NEW DELHI: Top exporter Saudi Arabia approved sales of 3 million barrels of extra crude to India for August to make up for a loss of shipments from Iran due to a payment dispute, sources with direct knowledge of the sale said on Tuesday.

"Saudi Aramco has confirmed the supply of additional volumes to Indian refiners," one of the sources said. "One million barrels each to Bharat Petroleum,Essar and Hindustan Petroleum. It is a mix of Arab light, Arab Heavy and Arab Medium."

Sources at Indian refinersHindustan Petroleum Corp (HPCL),Bharat Petroleum Corp (BPCL) and Essar Oil said that state oil giant Aramco had confirmed it would supply each of them with an additional 1 million barrels of crude in August.

 

[Tronic]

Well, the Bull-headed mullas in Iran need to come to the 21st century from the 7th century. Halting oil to us will only give the Arabs a bigger hand and more contracts for oil, Iran therefore losing a big time customer in the region. With Saudi agreeing to double the quantity of oil usually supplied, Iran will only continue to lose more.

It would be better if Iranians rose against the current idiotic fairy-tale regime of Iran and came back to today from 7th century Arabia. By segregating themselves from the entire planet in their quest for retaining the "Revolutionary" rule, the mullas are losing friends faster than anybody could ask "how?".

Iran is not bull-headed, it is India. Iran has not segregated themselves from anybody. The Islamic Republic of Iran was a far closer friend to India than that tin-pot Shah. It is our government which stabbed Iran in the back.

How the fvck are we supposed to pay when Iran won't accept US$, get sanctioned from European Union's Euros and REFUSE to accept Rupees? Have any of their idiotic rulers ever thought of that?

Pay the same way you were paying before December 2010. You got some reading up to do.

 

[Yusuf]

I think it's the way Iran handled this situation that has hurt. It's not that we don't want to pay. We are looking for ways to do so as a lot of doors have closed. Irans threat to stop supplies than be a little more patient has marked a new low in ties and played straight into the hands of the Americans who were pushing the Saudis to displace Iran from indian scheme of things.

I still think we should salvage ties with Iran. It's imperative we do that as it's a strategically placed country and will surely be useful to us.

 

[mayfair]

I think it's the way Iran handled this situation that has hurt. It's not that we don't want to pay. We are looking for ways to do so as a lot of doors have closed. Irans threat to stop supplies than be a little more patient has marked a new low in ties and played straight into the hands of the Americans who were pushing the Saudis to displace Iran from indian scheme of things.

I still think we should salvage ties with Iran. It's imperative we do that as it's a strategically placed country and will surely be useful to us.

Second that. Iran is our gateway into Afghanistan and Central Asia. We must do what's right by our strategic interests not America's.

If Japan can import a large amount of its crude requirements from Iran, why does it get America's goat if we are doing the same? It's time we stood up to the bullies.

 

[amoy]

I'm curious how other buyers settle with Iran. Can anyone bother to enlighten? I recall a post mentioned China MIGHT use Turkish channel

 

[Pintu]

Well as expected the Saudis have come through in a big way sending over 3 million barrels for the month of August.

Agreed , purely business tactic, they have been gifted an opportunity, and they scored on it.

Regards

 

[thakur_ritesh]

Ohimalaya,

china doesnt have too much of a problem.

china's exports to iran - 8b usd
china's imports from iran - 13b usd

the differing gap is of around 5b usd. the 16b usd of the trade will be taken care of via barter system, for the rest wont be surprised if iran increases its imports from china at the expense of some other possibly india which will further offset the payments to be made, and there is the turkish channel being explored/used.

@topic:

well it is amazing, just as we hit a blind spot in our relations with iran or for that matter any other country in our neighbourhood, guess who is there to fill up the void created. it is stunning how we keep creating these loopholes to be filled up by china, its as if we keep handing out opportunities on a platter to them. take anywhere in our immediate neighbourhood and its the same, and then we keep wondering what went wrong.

its really a sorry state of affairs.

China imports 648,561 b/d crude from Iran in June, highest in 2 years

China's crude oil imports from Iran jumped 53.2% year on year to 2.65 million mt or an average of 648,561 b/d, the highest in more than two years, figures released by the General Administration of Customs over the weekend showed.

June's crude oil imports were the highest since May 2009, when China imported 3.1 million mt or an average of 730,161 b/d from Iran.

Chinese refiners appeared to have bought more crude oil from Iran even as India has been having a payment dispute with Iran, industry sources said.

"China has no issue on payment. If the price is low, why not?" said a Chinese crude oil trader.

The UK's Financial Times reported on Sunday that US financial sanctions had blocked Chinese oil payments worth $20 billion to Iran and that the two countries are holding talks to develop a barter system to exchange Iranian oil for Chinese goods and services.The start of South Pars condensate term supply since the beginning of the year has boosted overall volumes from Iran, but this was probably not a major contributing factor as the term supply volume is only 66,667 b/d a month, traders said.

Unipec, the trading arm of state-owned refiner Sinopec, has a contract with the National Iranian Oil Company for the supply of about 24 million barrels of South Pars condensate for 2011, making it the single biggest lifter of Iranian condensate.

India owes over $5 billion to Iran as payments came to a halt in December when the Reserve Bank of India banned transactions through Tehran-based Asian Clearing Union.

Iran, which supplies around 400,000 b/d of crude to the South Asian country, wrote to Indian refiners last month that if payments for supplies made so far were not settled and a settlement mechanism worked out, there would be no shipments from August.

"Things should have happened quite a while ago, especially if there are billions uncollected," a crude trader based in Singapore said, referring to payments from both India and China.

In the first six months of this year, China's imports from Iran totaled 13.47 million mt, or 545,614 b/d, up 49.4% from the same period last year, according to the latest official customs data.

For all of 2010, China's imports from Iran totaled 21.3 million mt.

June was also the first time since May 2009 that crude imports from Iran had surpassed volumes from Angola, which was the third-largest supplier last month.

China imported 1.98 million mt, or an average of 484,692 b/d, of crude oil from Angola in June, 46.9% less than a year earlier.

OPEC kingpin Saudi Arabia remained the top crude supplier at 3.9 million mt or 952,449 b/d, which was 6.2% more than a year ago.

 

[pankaj nema]

There is an article in the US magazine called "National Interest" that US and Saudi should join hands and hurt Iran's oil Industry

It is written in that article that India and China are main buyers of Iranian crude and if Saudi pumps more oil then Iranian oil industry and Iranian economy can be crippled

This confirms my earlier theory as written in this thread that Saudi is behind this
Now it also appears that US too is involved in this situation for hurting Iran

 

[Virendra]

Yet the onus lies on the payer to pay (which is us). Those who have to plot will plot and try their best.
If there's anyone who has some home work to do, its India.

Regards,
Virendra

 

[Tronic]

I think it's the way Iran handled this situation that has hurt. It's not that we don't want to pay. We are looking for ways to do so as a lot of doors have closed. Irans threat to stop supplies than be a little more patient has marked a new low in ties and played straight into the hands of the Americans who were pushing the Saudis to displace Iran from indian scheme of things.

Yusuf, it was India which shut the door on Iran's payments, no one else. India, under US pressure, disbanded the perfectly functioning Asian Currency Union, which it was using to pay Iran for the gas. But the morons did not figure out a way to pay Iran after they closed the ACU down. Delhi is treating Iran very badly. Iran deserves to be treated better.

 

[ejazr]

Well it seems that China is actually facing the same problem as India is and there may be upto $20Billion in blocked payments. But China is circumventing this by basically getting the Iranians to barter/pay Chiense companies for exports or infra projects in Iran.

If Iran provides the same facility to India we could also do the same.

China and Iran consider barter system to circumvent U.S. sanctions | iPolitics

The U.S. sanctions against Iran, which make it extremely difficult to conduct dollar*-denominated business, mean that China might owe the oil-rich nation as much as $30 billion, according to people familiar with the problem. They said the unpaid oil bills had built up over the past two years and the governments, which are in *early-stage talks, were looking at how to "offset" the debt.

Some Iranian officials are growing increasingly angry about the inability of the country's largest oil customers to pay cash, a problem that has contributed to a shortage of hard currency and has hindered the central bank from defending the Iranian rial, which has been sharply devalued over the past month.
..
..
..
"Both China and India are happy to keep Iran's money in their banks and try to get Iran involved in barter deals to sell their junk, or give yuan and rupees instead of hard currencies," said one Iranian former official, on condition of anonymity. Iran had not yet accepted the alternatives, he said.

 

[thakur_ritesh]

Well it seems that China is actually facing the same problem as India is and there may be upto $20Billion in blocked payments. But China is circumventing this by basically getting the Iranians to barter/pay Chiense companies for exports or infra projects in Iran.

If Iran provides the same facility to India we could also do the same.

i think they are pretending to be in trouble. if it was to come to the worst and no other option was to be left, china could make the payments using the land route via pakistan and china could then significantly increase their take of oil from iran to offset the losses iran would face else where.

problem with indo-iran barter system would be our exports to them which just covers up a little over a billion usd and no more on the contrary our imports stand at over 11b usd, which means just the 2-3b usd worth of trade can be covered, for the rest we will have to find a way of making payments.

 

[SHASH2K2]

India to make oil payment to Iran via Turkey​

India expects to make a first payment to Iran through Turkey for billions of dollars in unpaid crude oil bills as it seeks to avert a cut-off in fuel shipments, the oil minister said Friday.
Tehran warned late last month it would halt exports to India from next month unless the payments dispute was resolved.
Oil Minister S. Jaipal Reddy said New Delhi expects to pay via Turkey the first tranche of arrears to Iran, which supplies 12 percent of energy-hungry India's crude needs.
However, Reddy told reporters in New Delhi "we can't fix time frames" in response to queries about when an alternate payment mechanism would be finalised to pay the bills which total at least $5 billion.
India is Iran's second largest client after China and absorbs about 20 percent of its crude exports.
But Indian firms have been struggling for more than six months to pay Tehran due to international banking sanctions imposed on the Islamic republic over its nuclear programme.
Reddy added he was hopeful Iran would continue to supply crude to India in August, but added New Delhi has already lined up alternative arrangements with other crude suppliers as a contingency measure.
The Financial Times quoted a senior Iranian oil official earlier this week as saying Tehran would continue crude exports as the two countries were seeking to work out payment methods through new accounts and barter deals.
Rupee accounts could help pay the cost of Iran's imports from India which include steel, food and electronic goods, the Financial Times said.
Earlier this week, Saudi Arabia agreed to sell three million barrels of extra crude oil to India to offset a possible supply cut, the Press Trust of India reported.
Annual trade between India and Iran stands at an estimated $12 billion, with India purchasing about 400,000 barrels of Iranian crude per day.
The Financial Times said if payment was arranged through barter deals, it would be the first time since the 1980-88 Iran-Iraq war that the Islamic republic had used such a means to be paid for its oil exports.
Reddy said earlier this month alternative supplies were being arranged from countries such as Saudi Arabia, Kuwait and Iraq as well as from Latin America.

 

[Tshering22]

^^ THat's a good solution. But what foreign currency would Iran be using as a base if it keeps changing reserve currencies with everyone? Okay Turkish Lira is fine for us. But what about other countries?

 

[Pintu]

ایرنا: India undertakes to pay arrears: NIOC chief

News Code: 30501174 (1948854) Publish Date : 09/05/1390 - 17:02

India undertakes to pay arrears: NIOC chief
Tehran, July 31, IRNA -- National Iran Oil Company Managing Director Ahmad Ghalebani said on Sunday that India undertook to pay arrears concerning Iranian oil export soon.

He said that Iran and India agreed to resolve the payment issue through close consultations and negotiations held during the last few days.

'The arrears will be paid in two parts -- one part in the coming days and the other part was rescheduled,' the NIOC chief added.

Meanwhile, Mohsen Qamsari, head of the NIOC international department confirmed the agreement and said that Iran's oil export to India is still underway.

1422**1416
Islamic Republic News Agency/IRNA NewsCode: 30501174