?Why Doesn't Pakistan Import Petrol from Iran?

 Pakistan, being an energy-deficient country, relies heavily on oil imports to meet its energy demands. However, the country's energy crisis is not only due to the shortage of oil but also the lack of diversification in its oil imports. Pakistan currently imports most of its oil from Saudi Arabia and the United Arab Emirates, while its neighbor Iran remains an untapped potential source. In this article, we will explore the reasons behind Pakistan's reluctance to import petrol from Iran and the benefits it can reap by doing so.

Why Doesn't Pakistan Import Petrol from Iran?

Pakistan and Iran have had strained diplomatic relations for decades, which has hindered their economic ties. The main reason behind this strained relationship is Pakistan's close ties with Saudi Arabia, Iran's regional rival. Moreover, the United States' economic sanctions on Iran have also made it challenging for Pakistan to engage in trade with its neighbor.

Another reason behind Pakistan's reluctance to import petrol from Iran is the infrastructure needed to transport oil. Currently, Pakistan does not have the infrastructure to transport oil from Iran through pipelines, which makes it more expensive to import oil from Iran. Furthermore, Pakistan lacks the necessary refineries to process the oil imported from Iran, which adds to the cost.

Benefits of Importing Petrol from Iran

Despite the challenges, there are several reasons why Pakistan should consider importing petrol from Iran.

Firstly, Iran has the world's fourth-largest oil reserves, which means it can provide Pakistan with a stable supply of oil. Moreover, Iran has been exporting oil to other countries despite the US sanctions, which means it has the infrastructure to transport oil to Pakistan.

Secondly, importing petrol from Iran can help Pakistan diversify its sources of oil, reducing its dependence on Saudi Arabia and the UAE. This diversification can help Pakistan reduce the impact of oil price fluctuations in the international market and ensure a stable supply of oil.

Thirdly, importing petrol from Iran can lead to cost savings for Pakistan. According to experts, oil from Iran is cheaper than oil from other countries due to its proximity to Pakistan. Moreover, Pakistan can save on transportation costs by building pipelines to transport oil from Iran instead of relying on ships.

Fourthly, importing petrol from Iran can help improve Pakistan's trade relations with its neighbor. Improved trade relations can lead to increased economic cooperation, which can benefit both countries.

Fifthly, importing petrol from Iran can help Pakistan meet its climate goals. Iran is one of the leading countries in the development of renewable energy and can help Pakistan transition to a cleaner and greener energy mix.

Conclusion

In conclusion, Pakistan's reluctance to import petrol from Iran is mainly due to diplomatic, economic, and infrastructure challenges. However, importing petrol from Iran can help Pakistan diversify its sources of oil, reduce its dependence on Saudi Arabia and the UAE, save costs, improve trade relations, and meet its climate goals. Therefore, Pakistan should explore ways to overcome these challenges and consider importing petrol from Iran to reap its benefits