The government’s acknowledgement on Saturday (April 4, 2026) that it is procuring oil and LNG from Iran after a gap of seven years has sparked hope for Indian traders that it may consider restoring trade with Iran and its interest in the Chabahar port, even as U.S. sanction deadlines loom again in April. The U.S.’s temporary sanctions waiver for Russian oil specifically for India expires on Sunday (April 5), while another general waiver for all countries will expire on April 11. In addition, the U.S. waiver for Iranian oil will expire on April 19, and its six-month waiver for India’s stake in Chabahar port ends on April 26.
On Friday (April 3), the Ministry of External Affairs said it “remains engaged” with the U.S. and all parties on the issue of Chabahar, while officials expressed hope that Washington would consider extending the waivers on oil, given that the war in West Asia continues, with no end in sight.
Oil Ministry confirms Iranian crude purchases, rejects claims of payment-led tanker diversion
However, there’s no clarity on whether the government will reject U.S. President Trump’s demands if the U.S. decides to re-impose sanctions.
Iran’s continued restrictions on the Hormuz Strait are a big concern, say exporters, given that more than 80% of India’s Basmati exports are destined for West Asian countries and a large number of export consignments are currently stranded in the Strait, stuck in transit at ports or on the high seas, leading to heavy financial losses for them.
