Over One Billion Dollars in Fuel Smuggling from Iran to Pakistan; U.S.: Sanctions Against the Islamic Republic Remain in Effect

Vedant Patel, Deputy Spokesperson for the U.S. State Department, responded to reports of fuel smuggling from Iran to Pakistan during a press conference on May 15, stating: "Sanctions against the Islamic Republic remain in effect, and we advise anyone considering trade with Iran to weigh the risks involved." Recently, Pakistani intelligence agencies conducted investigations revealing that last year, "Iranian brokers" smuggled over one billion dollars worth of gasoline and diesel fuel into Pakistan. According to a 44-page report, an average of 2,000 vehicles carrying fuel barrels crossed the shared border into Pakistan daily. Previously, most of the smuggling was directed towards Pakistan's Balochistan province, but the report now indicates that smuggled fuel is being distributed to other parts of the country as well. The report names 200 brokers and smugglers and mentions government and security officials of the Islamic Republic who benefit from this through bribery. A Pakistani political analyst stated that the Iranian government sometimes initiates actions to combat smuggling but suddenly halts them. The Pakistani government has not responded to the report from Nikkei Asia, but an unnamed official indicated that the report was deliberately leaked to compel the Islamic Republic to address the issue. According to Pakistani intelligence reports, Iranian fuel smuggling to that country cost its treasury 820 million dollars last year. However, the same report states that the livelihoods of nearly two and a half million people in Pakistan's Balochistan province depend on this smuggled fuel, and if it is stopped, residents may resort to crime and drug trafficking due to weak economic opportunities. Geeta Arian, a senior reporter for the Persian section of Voice of America, primarily focuses on foreign policy news. She began her journalism career in 1987 with radio work and joined Voice of America in 2004. Ali Akbar Omidmehr: Raisi's trip to Pakistan and Sri Lanka has not yielded economic benefits for Iran. U.S. warns India: Trade cooperation with the Islamic Republic will lead to sanctions. A ten-year contract for managing the Chabahar port is signed. Raisi threatened Israel with destruction in Pakistan. The Pakistani Defense Minister expressed hope for the completion of the joint gas pipeline with Iran.