India mulls to increase crude oil imports from Iran as its current account deficit widens and the value of the rupee falls. By doing so, the country is to save $8.5 billion in foreign exchange. The Union Petroleum Minister Marpadi Veerappa Moily has written in this regard to the Prime Minister Manmohan Singh.
Druing 2012-13, yielding to sanctions imposed on Iran by the US and the European Union so as to force it to roll back its nuclear programme, India slashed crude imports from Iran by 26.5 per cent. During that time India bought just 13.1 million tonne against 18.1 million tonne the previous year.
The Minister said that in the remainder of the year, India should import 11 million tonne crude oil so as to save $8.5 billion on foreign exchange. New Delhi, which spent $144.29 billion for oil imports last fiscal, pays Tehran in rupee, unlike other countries.