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May 13, 2015

[CA] Iran - US deal

IRAN – US Nuclear Deal
 Iran-US Deal: Various Names

E3+3
E3 = France, Germany, UK
Other 3 = China, Russia, USA
UNSC P5+1
Permanent 5 countries in UN + Germany
Lausanne Agreement
Because signed in the city of Lausanne in Switzerland

All of them one and same, meant to control Iran’s nuke program for next 10-15 years, so they can’t produce nuclear bomb.

Salient features of the deal:

v Iran can run nuke facilities for civilian / peaceful purpose only.
v IAEA to have full inspection powers.
v Spent fuel won’t be reprocessed, it’ll be exported.
v Overall no. of centrifuges to be reduced.
v Only 1 enrichment facility at Natanz.
v Fordow facility will be turned into a research centre.
v Arak’s heavy water reactor will be modified so it can’t produce plutonium.

Why Iran & West Agreed?

Iran Agreed because
West Agreed because
UNSC, EU, USA sanctions will be lifted. Iran can freely trade in international market, borrow loans from IMF, World Bank etc…
Irani influence increased in this region after US existed from Afghanistan and Iraq. So Irani help necessary to prevent spread of ISIS and Huthi rebels
Crude Oil prices declined, and given the economic sanction, Iran has not much to export. If sanction not lifted, the resultant economic crisis may have led to another Arab Spring like revolution
After stunxet cyber-attack on Iran’s nuke facilities, Iranis updated their anti-virus software. So now it is difficult to hack again. And also none wants to launch full-fledged military attack except Israel
Danger of aerial attack from Israel. This ‘nuke peace deal’ means USA will prevent Israel from any military adventure for the time being
If no deal happened then within 3 months, Iran would have sufficient enriched uranium to produce a bomb


India's interest in E3+3 deal:



ä  Iran can help India counter terror groups Jundullah, LeT, Haqqani, Al-Qaeda, Taliban, ISI and Pakistan Army.
ä  India can easily develop Iran’s Chabahar port and gain land route entry to Afghanistan, to counter Chinese influence from Lianyungang port and Silk Road / belt initiative.
ä  We can develop Iran’s Bandar Abbas port, and International North-South Transport Corridor (INSTC) to connect with CIS, Europe and Russia. It cut down time and cost in shipping from Mumbai to Astrakhan, Russia. INSTC was planned in 2000; it has Iran, India, Russia + 9 other countries.
ä  If INSTC is done, we can get raw material and export finished goods to CIS and via CIS to EU. (Foreign Trade policy 2015 wants this).
ä  Iran can provide steady oil and gas supply to India, because Iran has world’s 4th largest oil and 2nd largest natural gas reserves.
ä  Indian fertilizer companies can invest in Iran’s gas based plants. Remember Natural gas to CH3 to NH3 to Urea connection.
ä  Defence ties in long term; but with Challenges. Because if we cozy up too much with Iran then Saudi, Israel and USA won’t like it. Not ONE BIT. Therefore, India will have to balance 3 legged three-legged stool — with different sized legs.

Chinese Interests:
ü  They always supported Iran during sanction years, so now time to reap rewards by signing contracts e.g. new oil line from Gwadar Port (Pakistan) to Iran.
ü  China wants Iran to join silk belt/road initiative and AIIB.
ü  Even Pakistan interested to align with Iran instead of Saudi, therefore Pakistan Parliament recently declined to give military support to Saudi’s campaign in Yemen to fight against Huthi rebels. Because Iran is supporting Huthis rebels.

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