Israel Matzav

Sanctions? What sanctions?

A 70-member Indian delegation traveled to Iran on Friday, seeking to take advantage of '"huge" commercial opportunities created by US-led sanctions against the Islamic republic' (Hat Tip: Eli Tabori via Twitter).

The mission sees India walking a diplomatic tightrope as it seeks more business from Iran while managing a growing partnership with the United States and maintaining good relations with Israel, a key arms supplier.

US lawmakers and pro-Israel groups have accused New Delhi of undermining American and European efforts to isolate Tehran and force it to abandon its nuclear programme.

An attack that severely injured an Israeli diplomat in New Delhi last month -- blamed by Israel on Iran -- has further complicated matters.

The trade team will be in Iran until March 14 and expects "a lot of business" from the trip, said Anand Seth, spokesman for the government-backed Federation of Indian Export Organisations, which is leading the delegation.

"It's a big market for Indian exporters," Seth told AFP.

But the federation declined to name the firms taking part in the visit and a source close to the delegation said the companies involved were worried about potential US reprisals.

The delegation, of around 70 companies and top government officials, wants to boost exports to improve India's trade balance with Iran, which runs at a huge deficit as the Islamic republic supplies 11 per cent of its oil imports.

Under the plan, India would pay for up to 45 per cent of those imports in rupees that would stay in the country and be used in turn to fund Iran's purchases of Indian goods.

The move would sidestep Western sanctions that have made it difficult to continue paying for Iranian crude in dollars, Seth said.

Read the whole thing.

Those sanctions are real effective. They're really going to choke Iran until it gives up its nuclear weapons program. Aren't they?

Labels: India sanctions Iran

posted by Carl in Jerusalem @ 9:28 PM