EghtesadOnline: A discussion was held by Sri Lanka's Plantation Industries Minister Navin Dissanayake on Thursday for resuming tea export to Iran, which was constrained by US sanctions on the latter.
Secretaries of Sri Lanka’s ministries of highways and petroleum resources, and plantation industries, tea exporters and officials of the Sri Lanka Tea Board participated in the discussion, the ColomboPage reported.
During the discussion, all parties agreed to settle the payments owed to Iran for fuel imports in exchange for tea exports.
“Under the new system, Sri Lanka will be able to begin exporting Ceylon tea to Iran before the end of August,” Financial Tribune quoted the minister as saying.
According to Dissanayake, Ceylon Petroleum Corporation owes Iran $320 million for oil purchases from the country.
The Sri Lanka Tea Board will now export tea to the tune of $320 million to Iran and then claim this amount from CPC to pay back tea exporters, The Daily News reported.