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Iranian traders default on US37mn payment to India

NEW DELHI, March 15 (AsiaPulse) - Two Dubai-based Iranian private traders have defaulted on payment of Rs 184 crore (US$36.8 million) to nine Indian rice exporters, Parliament was informed Wednesday. There have been payment issues between India and Iran after sanctions imposed by the US. Iran mainly imports basmati rice from India.


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"Embassy of India, Tehran has informed that there have been delays in payments due to nine Indian exporters for export of rice to Iran from two Iranian companies registered in UAE," Minister of State for Commerce and Industry Jyotiraditya Scindia said in a written reply to the Rajya Sabha, the upper house.

He said that "defaulters are Iranian private companies and not government entities".

"By February 2012, these delays in payments were estimated at Rs 184 crore," he said adding the amount was initially to be paid by Iranian companies in Dubai, which have since wound up their operations and relocated.

India had exported 2.2 million tonnes of premium variety of rice in last fiscal, out of which around one million tonnes were shipped to Iran.

Indian exporters have been selling basmati rice in dollars to Dubai-based traders, who then sup

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