Published on September 21, 2013
The Asian petrochemical sector has become heavily dependent upon import of some essential commodities from Iran. Recent reports have revealed that Iran exported $12.118 billion of goods to five Asian countries in the first seven months (January-July) of 2013. The Asian petrochemical sector is highly reliant on crude oil imports from Iran, especially since Syria’s escalating crisis.
China received a total of 18.642 million tons of goods worth $3.577 billion, while Iraq imported 9.569 million tons of goods valued at $3.577 billion and 2.868 million tons of goods worth $1.933 billion were destined to the United Arab Emirates (UAE). Afghanistan and India also had considerable amounts of Iranian goods imported. India imported $1.336 billion worth goods from Iran, whereas Afghanistan received Iranian commodities valued at $1.572 billion. The major goods that were exported include $755 million of methanol, $725 million worth uncompressed iron-ore and concentrates, and tar oil worth $655 million.
China is Iran’s largest oil customer followed by India. China’s crude oil imports have increased dramatically since 2012 and Iran is its third largest supplier, providing Beijing with nearly 12% of its total annual oil consumption. India on the other is engaged in an attempt to deepen the already existing cultural and political ties with Iran. India is the fourth largest consumer of petroleum in the world and purchases Iranian crude worth $12 billion, which accounts for about 12% of the country’s total annual oil consumption. The rising demand for dollar, soaring crude oil prices, and depreciating Indian currency has forced the Indian government to devise a plan that would bring down its oil import bill by $22 billion and reduce the country’s current account deficit. In order to achieve this almost impossible task, the government has decided to increase oil imports from Iran. Thus the coming months are likely to see increased amounts of Iranian crude oil being exported to India.
The war-ravaged Afghanistan has had immense help from Iran. Iran has made significant contributions to rebuilding this war-torn nation by constructing roads, border stations, power transmission lines and other infrastructure and development projects. The anti-narcotics efforts in Afghanistan have also received Iranian contributions worth $50 million.
Iraq and Iran have also enjoyed a wonderful camaraderie ever since 2003, after Saddam Hussein was overthrown.
Thus the Islamic Republic’s exports have leapt to the highest levels despite sanctions imposed by US and Europe. Time and again whenever pushed to a do-or-die situation Iran has always found a way to cope.
