Finding alternate oil supplies for India, so that India’s economy is not adversely affected: US official

The principal deputy assistant secretary for the bureau of South and Central Asia Region, Alice Wells said that US is consulting with its partners and allies regarding Iran sanctions and finding the alternative supplies of oil to India so that India’s economy is not adversely affected.

Alice Wells told PTI, “The United States is consulting with all of its friends and partners to discuss the implementation of the sanctions after the snapback… we recognize India has a need for significant oil imports. Part of the conversation is how to ensure that there are alternative supplies of oil so that our friend India’s economy is not adversely affected”.

#Trump admin official said, “We recognise India’s need for significant #oilimports and are having conversations to ensure there are alternative supplies of the fuel “so that our friend India’s economy is not adversely affected”.”#IranSanctionshttps://t.co/iFjSeLf8PD

— Business Standard (@bsindia) September 29, 2018

Wells also accepted that Chabahar port is important for India to connect with Afghanistan to deliver the aid to war torn country and also allow Afghanistan to diversify its trade relationships, and said that US will certainly consider all these factors in implementation of Iran sanctions.

Wells said, “We very much appreciate what India has done to provide both assistance to Afghanistan, including through using Chabahar Port for the delivery of wheat”.

She added, “We also very much appreciate what India has done to allow Afghanistan to diversify its trade relationships, and again Chabahar has played a role here. So those factors will certainly be taken under consideration”.

US is ready to implement the second phase of sanctions on Iran, especially on oil and gas sector and infrastructure projects (including ports) of Iran to bring down Iran’s oil export to zero. Second phase sanctions will be in full implementation from November 4.

US has asked India to bring its oil import from Iran to zero but India has conveyed to US that because of its over-dependence on oil import it cannot bring Iranian oil import to zero and has asked for relief in the sanctions. Earlier, US has warned that the countries and firms those will continue to trade and business with Iran will be sanctioned and will be blocked to access US banking and financial system.