Diesel Market Opens at Iran-Pak Border

Diesel Market Opens at Iran-Pak BorderDiesel Market Opens at Iran-Pak Border

Iran has established a second market for diesel fuel at the border with Pakistan in the southeastern Sistan-Baluchestan Province, regional manager of the National Iranian Oil Refining and Distribution Company in Chabahar said.

Abdollah Gitimanesh added that the cross-border market comprises two storage units, each with a capacity of 1,000 liters of diesel, nearly 160 kilometers away from Chabahar, Mehr News Agency reported.

"The marketplace has been established to reduce fuel smuggling from Iran," he said.

The first diesel border at the Iran-Pakistan frontier was founded in May.

According to government reports, Iran exported 560 million liters of diesel during March-August, generating $250 million in revenues.

Pakistan and Afghanistan are major customers of Iranian diesel, while several consignments have been shipped in the past five months to foreign destinations.

Iran is increasing scrutiny of diesel-fueled vehicles, as the drive against diesel smuggling has helped lower consumption.

According to NIORDC's Nasser Sajjadi, Iran was a diesel importer until a year ago, but following the rise in diesel supply (as feedstock) to industries, consumption has fallen and for the first time Iran has become a diesel exporter.