Iran’s Rupee Reserves in India Declining
IRAN NEWS ECONOMIC DESK
TEHRAN – Vice chairman of Iran-India Chamber of Commerce Parham Rezaei says most of Iran’s trade with India is in Indian national currency rupee because the country had sold its oil in rupee but due to the slump in purchase of oil, Iran’s rupee reserves in India are decreasing and currently purchase of foodstuff and medicines is the country’s priority.
Speaking to ILNA, Rezaei talked about the latest developments on Iran-India trade, saying that in recent months no restriction has been imposed on trade with Iran by Indian government but due to the Coronavirus pandemic, the amount of imports and exports have plummeted and it has strongly affected the trade balance of both countries.
He added that currently Iran exchanges trades with India based on its oil revenues which are in rupees and it is natural that by decline in India’s purchase of Iran oil, Iran’s rupee reserves in India are declining and currently Iran’s priority is to purchase foodstuff and medicines from India.
Rezaei added that in recent months, rice exports from India to Iran have been halted due to the Indian Rice Exporters Union’s obligation for providing the domestic market with rice and it has nothing to do with the country’s policies towards Iran.
On India’s reaction to Iran-China deal, he said every country has its own independent policy and if this agreement is just in expanding trade, India will have no reaction, but Iran has held several talks with Indians on preferential trade to expand bilateral ties.
Rezaei noted that Iran’s cooperation with India continues at Chabahar Port, and transit and load of goods in the port has no problem but in the past four months, the Coronavirus pandemic has affected all affairs.
