The end of India’s temporary reprieve on oil imports from Iran is nigh, as US sanctions on the Islamic Republic for its nuclear programme come into full effect on 2 May. The Trump administration has decided not to renew any of the oil waivers it had granted earlier, which means that countries that do not stop buying Iranian oil by then could face American strictures.
Seven other countries are affected, but India is especially disappointed. Of the 220.4 million tonnes of crude oil imported by India in 2017-18, a tenth was from Iran. While New Delhi has been reducing its purchases, it is still short of alternatives that offer attractive credit, insurance and shipping terms to match Tehran’s, and with global oil prices on an upswing, striking fresh bargains is not easy.
