Chief Executive Officer (CEO) Harvest Tradings, Ahmad Jawad has said that our local banks are no more opening letter of credits (LC) for export of goods, especially rice, for Iran in the light of economic sanctions. “We need to take some measures immediately to continue this trade, including Currency Swap Arrangement, Barter Trade Arrangement and LC Transaction Arrangement with Iran, as rice export to Iran has plunged significantly due to ban on export to Iran.” Ahmed Jawad said that India successfully launched their economic diplomacy to grab the opportunity for Indian rice to Iran. As Iran’s oil export revenues are helping Indian rice exporters to claw back some of the lucrative business lost to cross-border truckers in Pakistan. He said that Iran is also allowed to open letters of credit in Indian rupees because the government has to pay money to Iran for the oil. “For the importers back in Iran, Indian rupees are easily available to them via the government, so they can do business in a much easier way than doing business in any other currency”, he added. He said similarly Dubai’s role in the India-Iran rice trade has withered since oil pool payments started.
Indian economic diplomacy to hit Pakistani rice in Iranian market: Jawad
