Exclusive: Iran defaults on rice payments to India

Exclusive: Iran defaults on rice payments to India

www.reuters.com

Iranian buyers have defaulted on payments for about 200,000 tonnes of rice from their top supplier India, exporters and rice millers said on Tuesday, a sign of the mounting pressure on Tehran from a new wave of Western sanctions.

(visit the link for the full news article)

The other day I posted a thread talking about how Obama has frozen some of Irans Assets

www.abovetopsecret.com...

Well now it looks like the Iranian feet are in the proverbial fire...

Some folks said the frozen assets would mean nothing... however I have suspicion that this is somehow related to it...

So what happens if your people can't get food imports? Riot from inside? Will we see a Persian Spring?



www.reuters.com
(visit the link for the full news article)

Doesn't really matter that they haave no cash for their rice, they have plenty of oil to barter with and I guess the iranians think rice is preferable and infinately more valuable than the dollars.

And this is just the beginning. It starts with rice, it will soon be their own oil. The attack on Iran has already begun, and it is an economical attack, NOT one with military force.

reply to post by HunkaHunka


India was looking for another method to pay for oil since the financial institute in Turkey is no longer an option due to sanctions.

I see possible swaps coming in the near future.

reply to post by HunkaHunka

Talking about the persian spring, I do hope it happens really soon, they had some riots right after the elections, but Iran goverment is strong, and they managed to settle things.
But i love persian people im sure theyll be able to take that guy off the presidential palace.

It's hard to say that Iran can barter with oil.

It seems logical but East Timor became liberated and the people there should all be very rich based on the resources p/capita. The problem as far I can tell is that the country has a poor credit rating because it's unstable. If the existing contract from before liberation weren't upheld they could be in a total mess, like some African countries.

Iran's oil is worth as much as the contract is worth. If you get it for 5 years and the regime changes hands you could lose a lot, especially if the new regime wants to make new arrangements.

reply to post by AllUrChips


Come on, man, look at history. All major wars are preempted by large-scale economic sanctions, in order to bring out the worst in their supposed enemies, so that either the chosen enemy strikes first, or we strike first under of the excuse of it being preemptive. Just look at Germany during the 1920's, up until Hitler came to power. The economic sanctions of the Treaty of Versailles led to the Weimarization of Germany, which paved the way for the people to accept a dictator with the gift of the silver tongue. This is just part of the way the road to war is paved. Constantly, we impose sanctions on nations which (understandably) pisses them off, and then when they've finally had enough and counter-attack, we crush 'em and say it was justified because they attacked us. It's like that Bill Hicks segment where the American throws a gun at the feet of some random world leader and tells them to pick it up repeatedly. When the leader finally picks up the gun, the American blows him away and says "Hey now you saw it, he had a gun! I think he meant to use it!" It's just like that except the real-life version is not nearly as funny.

reply to post by xXxinfidelxXx


Some truth to what you are saying.. however in this case we need to remeber that a large chunk of population in Iran aren't all that happy with the domestic side of things, especially after the last election. The people were also a bit torqued that Ahmadenijad was essentially putting the program over the people and economy. They were upset about the confrontational choices and the effect it had on them.

I could see the people of Iran holding more protests if this drags out...

reply to post by Xcathdra


Yep... The people of Iran have a history of uprising...

The US froze Billions of the Iranian/Chinese assets.

All Iran has to do is issue India a piece of paper giving them rights to the money being held by America. India would turn to the US and demand that Iranian money.....US would say no....

So India could say ok.....we'll wait for you to pay us....we assess 45% interest per year on this amount. Take your time.


Could also be a factor on why India dropped their plans to buy the F-35.....Could end up putting India on China's side....could you imagine that?

reply to post by HunkaHunka


Yeah, usually with the help of good old Uncle Sam. As far as I'm concerned, there hasn't been a middle eastern coup that wasn't sponsored by the west since the mid '50s. Maybe even before that. People don't even seem to realize the extent of the meddling involved here.

India has already agreed with Iran to pay 45% of Iran oil payment in Rupees.

Amidst the US sanctions to continue undisrupted crude oil supplies from Iran, India will pay for 45 per cent of its transactions in rupee terms.

Mr Seyed Mehdi Nabizadeh, Iranian Ambassador to India, said that Iran and India have reached a suitable payment mechanism for Iranian oil imports. While 45 per cent of the payment for oil imports from Iran will be made in rupee, the remaining will be through any other mode, he said.

and more

Iran’s central bank has opened an account with Indian banks including UCO Bank to facilitate the payment. As a payment mechanism, he said, Iran can use the rupee returns for buying commodities and products from India.

Indian companies will also invest in projects in Iran, such as developing its oil and gasfields, extraction of iron ore, and building roads and railways.

Iran may also increase its imports of goods from India to settle part of the payments, he said.

India to make 45% of Iran oil payments in rupees

and here is India's media covering sanctions against Iran

United States's concern on the exacerbating confrontation with Iran, and India's perceived reticence to join in the US-led paranoia against Teheran, was on full display during the nomination hearing of career diplomat Nancy J Powell to be the next American ambassador to New Delhi.

The ranking Republican on the powerful Senate Foreign Relations Committee, Senator Richard Lugar, fired the first salvo when he told Powell, "In recent days, press reports indicate that India's Oil and Natural Gas Corporation has come under pressure to finalise a service contract for natural gas production with Iran," and asked her for her "thoughts on an Indian company's involvement in Iran's energy sector, particularly something of this significance?"

Powell, being the quintessential diplomat, and attempting to be as circumspect as possible, replied, "Iran and India have a long tradition of trade across energy and other fields. It is one that is clearly a part of our sanctions regime, that we are hoping to see it significantly reduced."

Powell put on mat in Congressional hearing over India's Iran ties

How is this exclusive?

Plastered over every single mainstream news service in the world?

Not even alternative news, never mind exclusive. No star no flag.

Originally posted by Pervius
The US froze Billions of the Iranian/Chinese assets.

All Iran has to do is issue India a piece of paper giving them rights to the money being held by America. India would turn to the US and demand that Iranian money.....US would say no....

So India could say ok.....we'll wait for you to pay us....we assess 45% interest per year on this amount. Take your time.


Could also be a factor on why India dropped their plans to buy the F-35.....Could end up putting India on China's side....could you imagine that?

India is on China's side

Just like Iran and Israel are in the same bed

From the article:

Iran relies on imports for about 45 pct of its annual rice consumption of 2.9 million tonnes, according to U.S. Dept. of Agriculture data.

I think Iran is a doomed country if they keep swapping oil for food. They should swap it for seeds and resources to built farms in their deserts. What they are doing now is only short term gains or so it appears to me. Rice will continue to grow which will keep people alive, oil however isn't edible, is finite and will run out some day. It should have only been used to built something more sustainable, not to swap it for food which will keep some people alive for awhile.

Guess Iran's regime is much like the West, only thinking in short term gains. Swap oil for money to buy food instead of creating more farms so in time they can be selfsufficient. Guess there was a choice to be made; either invest that money into building a better nation or distribute it to those in power, they probably chose the latter.

Originally posted by Xcathdra
reply to post by xXxinfidelxXx

 

Some truth to what you are saying.. however in this case we need to remeber that a large chunk of population in Iran aren't all that happy with the domestic side of things, especially after the last election.

I will outright call your statement an outright lie and a fabricated statement with no base in it. World Public Opinion managed by International Policy Attitudes at the University of Maryland supports my statement.Here is the glimpse of Iranian public opinion taken before the election was conducted and it clearly shows Mahmoud Ahmedinijad as the front runner. (Page 8 of the report)


Here is page 9 of the report showing Ahmedinijad was again front-runner and Mousavi was behind him.


To further analyze your statement which stated "large chunk of public" was not happy with the election result. Here is what the majority of Iranians thought and stated after the election. (Page 9 of report)


Here is the majority of Iranian public again favoring Mahmoud Ahmedinijad 3 weeks after the election (Page 10 of report)


Now I know you may come up saying the elections were not free and fair. Fortunately the report even covers the sentiment of Iranian people on that topic which shows majority of the Iranian people believed the elections were free and fair. (Page 13 of the report)

The people were also a bit torqued that Ahmadenijad was essentially putting the program over the people and economy. They were upset about the confrontational choices and the effect it had on them.

Why to make up sentences, let the Iranian people speak for themselves whether they want nuclear power or not. The report even covers that (Page 22 of the report) almost every Iranian person supports Nuclear ambition. Only 3% of total people asked did not supported and 6% of Mousavi supporters dont support the nuclear power but rest everyone supports them.


When Iranian people were asked would they want to give up nuclear program if sanctions are removed, majority of Iranian people refused to accept the deal as shown on Page 23 of the report.


The complete report can be accessed here in pdf format: An Analysis of Multiple Polls of the Iranian Public

I could see the people of Iran holding more protests if this drags out...

It's not the Iranian government sanctioning themselves but the western powers. All it would lead is more resentment of the Iranian public opinion against west and protests against western countries and perhaps more hardcore future governments are elected in Iran in future when the Iranian people see themselves under attack by means of economic warfare, terrorist bombings and assassinations by terrorist of Iranian scientist. The ruling government will hardly be affected by this, it's the people who will be affected by the sanctions. People will grow more angry and when they will learn they are facing hardship because their country wants to be self sufficient by producing nuclear energy but western powers dont want that to happen and are sanctioning them.

Last but not the least it's not just the Iranians but the latest polls show that the majority of nearby Arab countries population also supports Iran's nuclear power ambition. If you want I can provide you the link for that, just ask.

Plase do......i have been under the impression that nations like Bahrain and so forth are concerned about the nukes in Irani hands....
Saudi Arabia too is worried about a nuclear iran.....
I would be surprised to hear different...thanks....s

All sanctions do is affect the general population, the average guy/girl/family just trying to get by. Actually that goes for all government policies, the people who make these policies and implement them are not ever affected by them. It is just us average people who as always, get stuck with the consequences! How many politicians have died in war? How many have starved through sanctions? Count them all on one hand! I wouldn't trust Iran with a Nuclear weapon, but I'd trust an Iranian worker with my life! It's a shame we're all divided up in a game of Risk, even bigger shame that the game has no end!

Originally posted by harryhaller
How is this exclusive?

Plastered over every single mainstream news service in the world?

Not even alternative news, never mind exclusive. No star no flag.

It's exclusive to Reuters... Every outlet that was carrying it last night when I posted it was carrying the Reuters story...