LONDON: Asian imports of Iranian oil in November fell by the most in nine months with India and South Korea cutting their imports as buyers mainly hold off on raising their purchases after July’s landmark agreement on Tehran’s disputed nuclear programme.
Imports by Iran’s four biggest buyers – China, India, Japan, and South Korea – came to 894,685 barrels per day last month, down 16.2 percent from the same month a year ago and the sharpest decline since February, government and tanker-tracking data show. However, imports rebounded 11.3 percent from October. The decline was mostly in line with loading data at Iranian ports for the arrival month. Exports to Asia are set to rise above 1 million bpd this month.
India and South Korea led the drop in Iranian imports. India’s intake declined to 138,100 bpd, down 44.9 percent from the same time a year ago and the lowest since March, while South Korean imports decreased to 97,200 bpd, down 28.8 percent and the lowest since July.
Japan’s oil imports from Iran in November rose 3.1 percent from a year earlier to 168,285 bpd, trade ministry data showed on Monday.
Average total imports by the top four Asian buyers have fallen 7.1 percent to 1.03 million bpd in the first 11 months of the year, the data showed. Despite the slump in oil prices, Iran has vowed to ramp up crude oil production and reclaim its lost share of exports after international sanctions on the OPEC member are lifted in January 2016.
Iran’s crude oil exports could rise by half a million barrels per day within 6-12 months once sanctions against it are lifted, Fatih Birol, Executive Director of the International Energy Agency (IEA), said this month.
The sanctions were introduced to keep Iran’s exports at around 1 million bpd, down from 2.5 million bpd in 2011, and force Tehran to the negotiating table over its disputed nuclear activities. Western powers say the activity is a cover for building nuclear weapons, which Iran has consistently denied.
Under the accord reached in Vienna on July 14, Iran will be subject to longer-term restrictions on its nuclear programme in return for the removal of U.S., U.N. and European sanctions.
