Freeze in transfer of Iraqi oil to Jordan continues

The transfer of Iraqi oil to Jordan stopped in December 2013, Al-Arab Al-Yawm reported the Chairman of Truck Owners Mohamed Daud saying today.

Daud said that the reason behind this stalemate is the clashes between the Islamic State of Iraq and Syria (ISIS) and tribal militias and the Iraqi army along the border areas.

He said that these clashes hindered the entrance of 70 tankers, which would pick up 15,000 barrels a day, into Iraq. “The syndication of truck owners has been in touch with the Iraqi embassy in Amman to discuss the issue,” Daud said.

Since December 2013 Jordan lost 2.430 million barrels. Jordan gets the Iraqi oil $6 less than the global price. Without this preferential rate, Jordan’s losses are estimated at $14.5 million.

According to the Jordanian-Iraqi Commercial Exchange Agreement, Iraq supplies Jordan with 15,000 barrel’s of oil every day, 15 per cent of Jordan’s need. Jordan consumes 100,000 barrels a day.

Daud said that trucks transfer vegetables and fruits from Jordan to Iraq continuously through more secure passages. He said that unlike the oil tankers, these trucks are owned by individuals.