Iraq Seeks to Double Oil-for-Food Deal with Indonesia
Iraq is seeking to double the value of its oil-for-food trade deal with Indonesia next year to one billion dollars, according to an Indonesian minister.
"Iraqi government officials have told me they would allocate one billion dollars for their oil export deal to Indonesia next year," Industry and Trade Minister Luhut Panjaitan told a parliamentary commission in Jakarta on Wednesday, the Jakarta Post reported.
Panjaitan said the Oil-for-Food arrangement with Iraq was worth 500 million dollars this year and that Baghdad wanted the deal to be increased to one billion dollars in 2001.
Under the UN-sanctioned oil-for-food deal, Iraq has been entitled since 1996 to sell a certain amount of its crude oil in return for food products, medicine and other services in the health, education, telecommunications, transportation and agriculture sectors.
Iraq has otherwise been subjected to trade sanctions enforced since its 1990 invasion of Kuwait.
Indonesia has so far bought a total of 10 million barrels of oil from Iraq and has in return sold 74.4 million dollars worth of goods, mostly foodstuffs, to Iraq.
Although a major exporter of crude oil, Indonesia imports cheaper higher-sulphur crude to feed its refineries - JAKARTA (AFP)
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