When oil sanctions stop working
Jan 24, 2012
India is the first buyer of Iranian oil to agree to pay for its purchases in gold instead of the US dollar, debkafile's intelligence and Iranian sources report exclusively. Those sources expect China to follow suit. India and China take about one million barrels per day, or 40 percent of Iran's total exports of 2.5 million bpd. Both are superpowers in terms of gold assets....
An Indian delegation visited Tehran last week to discuss payment options in view of the new sanctions. The two sides were reported to have agreed that payment for the oil purchased would be partly in yen and partly in rupees. The switch to gold was kept dark....
India thus joins China in opting out of the US-led European sanctions against Iran's international oil and financial business. Turkey announced publicly last week that it would not adhere to any sanctions against Iran's nuclear program unless they were imposed by the United Nations Security Council....
Comment: This is turning into an East vs. West economic conflict. The net result will be a reshuffling of trade partners and political alliances, as the BRIC nations stop going along with everything that Europe and America says.
BRIC = Brazil, Russia, India, China
These are the nations whose economies are growing, while the West declines. Over time, the center of gravity of civilization itself is shifting steadily. Soon American and European sanctions will become almost meaningless.
Dr. Stephen Jones