India lifts ban on imports, exports from Iran

The Dollar Business Bureau

Following the lifting of sanctions against Iran by the United States and others Western powers in January this year, India has also followed suit by lifting the ban on export and import of certain items from the Persian Gulf nation.

“The prohibition on direct or indirect export to Iran or import from Iran of specified items is lifted,” the Directorate General of Foreign Trade (DGFT) in a notification said.

“Direct or indirect exports to Iran or imports to Iran is now permitted subject to UN Security Council Resolution 2231 (2015) and IAEA specified documents,” the notification also added.

Bilateral trade between India and Iran stood at $9 billion in 2015-16 as against $13.13 billion in 2014-15.

After Iran signed the nuclear deal with the main Western powers last year, investors have been lining up to fix their ties with Iran.

India is heavily dependent on imports of oil from Iran. Its oil import from the country rose to 48.8% in April 2016 as compared to April last year.

During the first four months of 2016, Iran’s oil exports to India more than doubled to 322,500 BPD from 160,500 BPD during the same period last year.

India announced last month that it will build and operate the main Iranian port of Chabahar. This deal will have huge consequences on the economies of both India and Iran.