{"id":36763,"date":"2018-11-10T17:21:32","date_gmt":"2018-11-10T11:51:32","guid":{"rendered":"https:\/\/blog.forumias.com\/?p=36763"},"modified":"2018-11-13T16:14:00","modified_gmt":"2018-11-13T10:44:00","slug":"india-appreciates-sanctions-waiver","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/india-appreciates-sanctions-waiver\/","title":{"rendered":"India appreciates sanctions waiver"},"content":{"rendered":"<p><a href=\"https:\/\/www.thehindu.com\/todays-paper\/tp-national\/india-appreciates-sanctions-waiver\/article25459234.ece\"><strong>India appreciates sanctions waiver<\/strong><\/a><\/p>\n<p><strong>News:<\/strong><\/p>\n<ol>\n<li>The Ministry of External Affairs (MEA) has expressed appreciation for the United States\u2019 waiver on India-Iran energy trade and the Chabahar Port project.<\/li>\n<\/ol>\n<p><strong>Important Facts:<\/strong><\/p>\n<ol start=\"2\">\n<li><strong> Background: <\/strong>US has granted temporary waivers for Iran oil imports to eight countries including India owing to the significant reductions in their oil imports from Iran.<\/li>\n<li>India, China, Greece, Italy, Turkey, South Korea, Taiwan and Turkey are the eight major importers of Iranian oil who were spared from immediate penalties against oil imports.<\/li>\n<li><strong> About the sanctions:<\/strong><\/li>\n<\/ol>\n<ul>\n<li>The sanctions will penalise countries that do not end Iranian oil imports and foreign companies that do business with blacklisted Iranian firms.<\/li>\n<li>The sanctions also affect non-Iranian companies that deal with sanctioned Iranian firms and officials.<\/li>\n<li>In terms of products, the U.S. will exempt food, agricultural products, medicines and medical devices.<\/li>\n<li>The European Union (EU) including the U.K. will not be one of the jurisdictions granted a temporary exemption.<\/li>\n<li>There would be no exemptions for condensates. Earlier, Iran had exported some $1.5 billion worth of condensates in just three months of 2014 to get around sanctions.<\/li>\n<\/ul>\n<p><img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-full wp-image-36759\" src=\"https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2018\/11\/about-1.jpg?resize=615%2C77&#038;ssl=1\" alt=\"\" width=\"615\" height=\"77\" srcset=\"https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2018\/11\/about-1.jpg?w=615&amp;ssl=1 615w, https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2018\/11\/about-1.jpg?resize=150%2C19&amp;ssl=1 150w, https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2018\/11\/about-1.jpg?resize=300%2C38&amp;ssl=1 300w\" sizes=\"auto, (max-width: 615px) 100vw, 615px\" \/><\/p>\n<ul>\n<li>In terms of entities granted exemptions, there would be no exemption for Society for Worldwide Interbank Financial Telecommunication (SWIFT).<\/li>\n<li>SWIFT has been told to cut off from sanctioned entities as soon as technologically feasible or could face sanctions either.<\/li>\n<\/ul>\n<p><img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-full wp-image-36758\" src=\"https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2018\/11\/swift-1.jpg?resize=623%2C88&#038;ssl=1\" alt=\"\" width=\"623\" height=\"88\" srcset=\"https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2018\/11\/swift-1.jpg?w=623&amp;ssl=1 623w, https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2018\/11\/swift-1.jpg?resize=150%2C21&amp;ssl=1 150w, https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2018\/11\/swift-1.jpg?resize=300%2C42&amp;ssl=1 300w\" sizes=\"auto, (max-width: 623px) 100vw, 623px\" \/><\/p>\n<ol start=\"5\">\n<li><strong> However these exemptions will likely be for a short time period and US is likely to have the sanctions re-imposed which might have following impacts:<\/strong><\/li>\n<\/ol>\n<ul>\n<li>The eight countries including India after grant of exemption, would be asked to bring down oil imports from Iran to zero in six months.<\/li>\n<li>During those six months, the importing country can buy Iranian oil but must deposit Iran\u2019s revenue in an<strong> escrow account<\/strong> (Account in which funds are accumulated for specific disbursements and is maintained by third party) and Iran can spend the money but only on a narrow range of humanitarian items.<\/li>\n<\/ul>\n<ol start=\"6\">\n<li><strong> India\u2019s Case:<\/strong><\/li>\n<\/ol>\n<ul>\n<li>India, which is the second biggest buyer of Iranian oil after China, is being pushed by the US to restrict its monthly purchase to 15 million tonnes a year down from 22.6 million tonnes bought in 2017-18 financial year, according to sources.<\/li>\n<li>The re-imposition of sanctions will not just impact oil imports, but will also impact the development of the <strong>Chabahar port.<\/strong><\/li>\n<li>India\u2019s investment in the Chabahar port, would face both direct and indirect sanctions as shippers, port suppliers and trading companies refuse to participate in the project.<\/li>\n<li>Since its inauguration in 2017, India has shipped about 110 thousand metric tons of much-needed wheat and 2000 metric tons of pulses from India to Afghanistan through this port.<\/li>\n<li>So the sanctions will<strong> threaten India\u2019s $500 million investment<\/strong> in the port and its $2 billion plan for a railway line to circumvent Pakistan and reach Afghanistan and Central Asian trade lines via International North-South Transport Corridor <strong>(INSTC).<\/strong><\/li>\n<li>There are not only rising costs of oil to contend with, but also the added cost of having to recalibrate<strong> Indian fuel refineries <\/strong>that are used to process Iran\u2019s special crude.<\/li>\n<li>Most significant impact would be on India\u2019s regional security situation, which could see the <strong>Iranian-Arab divide deepen, <\/strong>Afghanistan\u2019s choices dwindle and an angry Iran pitched closer into the <strong>China-Russia<\/strong><\/li>\n<li>With trade levels receding, the Iranian regime may well lose interest in the Chabahar option, and focus on its main port of<strong> Bandar Abbas <\/strong>instead, derailing India\u2019s grander plans for regional connectivity.<\/li>\n<\/ul>\n<p><img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-full wp-image-36757\" src=\"https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2018\/11\/india-2.jpg?resize=624%2C162&#038;ssl=1\" alt=\"\" width=\"624\" height=\"162\" srcset=\"https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2018\/11\/india-2.jpg?w=624&amp;ssl=1 624w, https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2018\/11\/india-2.jpg?resize=150%2C39&amp;ssl=1 150w, https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2018\/11\/india-2.jpg?resize=300%2C78&amp;ssl=1 300w\" sizes=\"auto, (max-width: 624px) 100vw, 624px\" \/><\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>India appreciates sanctions waiver News: The Ministry of External Affairs (MEA) has expressed appreciation for the United States\u2019 waiver on India-Iran energy trade and the Chabahar Port project. Important Facts: Background: US has granted temporary waivers for Iran oil imports to eight countries including India owing to the significant reductions in their oil imports from&hellip; <a class=\"more-link\" href=\"https:\/\/forumias.com\/blog\/india-appreciates-sanctions-waiver\/\">Continue reading <span class=\"screen-reader-text\">India appreciates sanctions waiver<\/span><\/a><\/p>\n","protected":false},"author":61,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[555],"tags":[224,239,61,391,558,557],"class_list":["post-36763","post","type-post","status-publish","format-standard","hentry","category-test-1","tag-gs-2","tag-international-relations","tag-iran","tag-jcopa","tag-oil-prices","tag-us-sanctions","entry"],"jetpack_featured_media_url":"","views":{"total":0,"cached_at":"","cached_date":1704869378},"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/36763","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/61"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=36763"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/36763\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=36763"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=36763"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=36763"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}