Indian shipping vessels free to navigate Strait of Hormuz says Iranian government
They said the reported exemption could significantly reduce security risks for Indian ships and seafarers.
NEW DELHI: Iran has exempted commercial ships from four countries, including India and China, from transit restrictions in Strait of Hormuz, a senior Iranian lawmaker has said, amid continued attacks on vessels attempting to cross the strategic energy corridor. Shipping industry executives, however, said they were in “wait and watch” mode and would seek greater clarity before deciding to send vessels through the strait. The statement has raised hopes among shipping lines of resuming voyages to transport crude oil, gas and fertilisers after a gap of nearly eight months.
Oil refiners said a resumption of normal vessel movement through Strait of Hormuz would improve crude availability and help ease prices, which have remained around $110 a barrel or higher over the past two months. Because of shorter voyage times through the strait,” said a senior shipping line executive, this would provide huge relief, as insurance premiums could fall sharply and logistics costs would come down.
In an interview with Iranian Students’ News Agency (ISNA) Tuesday, Amir Hayat-Moghaddam, deputy chairman of Iranian Parliament’s National Security and Foreign Policy Committee, said, “We have currently exempted four countries — India, China, Iraq and Qatar — from transit restrictions in the Strait of Hormuz. Moghaddam said the exemptions were based on specific considerations and mutual interests. Nikhil Dubey, lead analyst at Kpler, said higher freight costs for Russian crude had eroded its delivered-price advantage, while improving supplies from West Asia were offering refiners more competitive alternatives.
Ships from these countries pass freely, and the Americans do not intercept them either. “We have not sent any ships since April. If our vessels and crew face no security risks, we can resume sending ships.