Iran nuclear deal may end cheap oil supply for India
File
picture of an Iranian oil super tanker. If the nuclear deal holds and
sanctions ease, Iran may want India to make oil payments in dollars,
which will not be in India's best interests.
NEW DELHI: India's hopes to access cheaper oil after the US-led interim nuclear accord with Iran may prove a temporary advantage as the Persian Gulf nation emerges from isolation and begins demanding full dollar payments.
The oil ministry's calculation that $8.5 billion can be saved if India imports an additional 11 million tonnes of Iranian crude might look feasible, but India's appeal as a customer will wane if the nuclear deal holds and sanctions ease.
Though the deal faces formidable challenges with Saudi Arabia and Israel angrily rejecting it as "appeasement", and both Iran and the US not making irreversible commitments, India may have to game for an unshackled Iran.
The oil ministry's calculation that $8.5 billion can be saved if India imports an additional 11 million tonnes of Iranian crude might look feasible, but India's appeal as a customer will wane if the nuclear deal holds and sanctions ease.
Though the deal faces formidable challenges with Saudi Arabia and Israel angrily rejecting it as "appeasement", and both Iran and the US not making irreversible commitments, India may have to game for an unshackled Iran.
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