NEW DELHI – Iran on Tuesday criticised India for not fulfilling its promiseof making investments in the expansion of the strategically locatedChabahar port and said New Delhi will stand to lose “special privileges” ifit cuts import of Iranian oil.
Iran’s Deputy Ambassador and Charge d’Affaires Massoud Rezvanian Rahaghisaid Iran will end the privileges being provided to India if tries tosource oil from countries like Saudi Arabia, Russia, Iraq, the US andothers to offset cuts in Iranian oil.
“It is unfortunate that Indian investment promises for expansion ofChabahar port and its connectivity projects have not been accomplished sofar. It is expected that India takes immediate necessary measures in thisregard if its cooperation and engagement in Chabahar port is of strategicnature,” he said. Rahaghi was speaking at a seminar on ‘emerging challengesand opportunities in the global diplomacy and its impact on bilateral tieswith India’.
The Chabahar port is being considered a gateway to golden opportunities fortrade by India, Iran, and Afghanistan with central Asian countries in thewake of Pakistan denying transit access to New Delhi.
In May 2016, India, Iran, and Afghanistan had inked a pact which entailedthe establishment of Transit and Transport Corridor among the threecountries using Chabahar Port as one of the regional hubs for seatransportation in Iran, besides multi-modal transport of goods andpassengers across the three nations.
Referring to US sanctions on oil import from Iran, Rahaghi said his countryhas been a reliable energy partner for India and that Iran always follows a“rationale pricing” of oil which ensures the interest of both consumers andsuppliers.
“…If India were to replace Iran with countries like Saudi Arabia, Russia,Iraq, the US and others for the 10 per cent of its oil demand then it mayhave to revert to dollar-denominated imports which mean higher CAD (CurrentAccount Deficit) and deprivation of all other privileges Iran has offeredto India,” Rahaghi said.
The senior Iranian diplomat said it was important to work together toimmunise the relationship between the two countries through the adoption ofnecessary instruments and mechanisms.
“We should strive to make these relationships more sustainable and durable.This requires a strong political determination,” he said, adding both sidesshould set up banking relations, open new transaction routes and help eachother’s markets and business communities. Iran is India’s third-largest oilsupplier after Iraq and Saudi Arabia. Iran supplied 18.4 million tonnes ofcrude oil between April 2017 and January 2018.
The US has told India and other countries to cut oil imports from Iran to“zero” by November 4 or face sanctions.