Sunday Evening Iraq Economic News Highlights 8-7-22

Oil: 35 million liters of oil derivatives and 600 tons of liquid gas were secured in preparation for the Ashura visit

Energy    Economy News-Baghdad   The Undersecretary of the Ministry of Oil for Distribution Affairs, Hamed Younis, confirmed on Sunday that 35 million liters of oil derivatives and 600 tons of liquid gas have been secured in preparation for the visit of the 10th of Muharram in the holy Karbala, according to a statement from the ministry.

The statement quoted the Director General of the Oil Products Distribution Company, Hussein Talib, as saying that “a sufficient stock of oil products for the visit ceremonies was provided to the governorate in the new Karbala warehouse and Najaf warehouse, amounting to (15) million liters of gasoline, (5) million liters of white oil, and (15) million liters of gas oil, in addition to the continuation of the daily quota for the governorate,” referring to “the processing of liquid gas through (135) mobile agents accredited to the company’s branch in Karbala . ”

The Director General of the General Company for Gas Filling and Services Anmar Ali Hussein said that "the prescribed quota of liquid gas for the Karbala governorate has been increased from (500 tons to 600 tons) per day throughout the visit period to meet the needs of the filling plants of the material for the processing of liquid gas cylinders . "

The Deputy Director General of the Oil Pipelines Company, in charge of managing the company, Majed Abdel Reda, said, "The company has mobilized all its human and technical capabilities to participate within the Ministry's fuel plan for the occasion, as warehouses have been prepared to pump oil derivatives and equip them to distribution outlets . "

It is noteworthy that the Ministry of Oil prepares an annual plan to secure the fuel needed to revive the million religious occasions, and harnesses all possibilities to make its plan a success and the success of the visits ceremony .  10 . views   Added 08/07/2022 - 1:07 PM  Update 08/07/2022 - 1:16 PM

https://economy-news.net/content.php?id=29195

Iraq supports its oil production by 70 thousand barrels per day early next month

Posted On2022-08-07 By Sotaliraq  Baghdad/Bright news  Iraq is waiting for an increase in oil production by about 70 thousand barrels per day after the decision of the (OPEC Plus) group to raise production for member states by 100 thousand barrels starting next month, but experts expect a slight decrease in prices for many reasons, the most important of which is the continuation of speculation, warning against wasting the financial surplus in degrees functional.

The economic expert, Amer Al-Jawahiri, said, in an interview with (Al-Mada), that "Iraq's current production of oil is 4 million and 580 thousand barrels per day."

Al-Jawahiri added, "The decision of the (OPEC Plus) group to increase production for member states will begin to be implemented next month and raise Iraqi production by a limited extent."

He pointed out that "exports are limited by numbers, and they are below the level of production, since there is a part that goes to domestic consumption," noting that "the increase announced by OPEC will not change the current prices in the global oil market."

Al-Jawahiri stressed that “oil prices are subject to political factors, international intersections, stagnation and economic advancement in some countries.”

And he added, "The general budget for the past year estimated exports at 3 million and 250 thousand barrels," noting that "the current exports are sometimes lower than these rates and at other times they reach 3 million and 373 thousand barrels as the highest estimate."

Al-Jawahiri stressed that "the major importers of Iraqi oil are China and India," noting that "Russia and Iran have begun directing their exports to those two countries."

And he continues, "What Russia and Iran have resorted to has become at the expense of Iraqi exports, and maintaining our markets depends on the work mechanisms of the team that handles this process."

Al-Jawahiri noted that "observers are concerned, despite official assurances, that the increase in Iraq's share must be followed by an increase in exports."

Al-Jawahiri finds, “The other important point is, where are the oil revenues directed? Which means that the plan for spending in the current year is limited, and what we have received from revenues exceeds expenditures.” He added, "This means that we are facing a surplus in oil revenues, but its destination is not planned to achieve the economic benefit of the country, whether in terms of increasing production capacities or setting plans for the type of actual economy or infrastructure."

Al-Jawahiri went on to “warn against compromising this surplus on the operational side by providing jobs in the state, and this is a dangerous option that we call not to take.”

And the Ministry of Oil announced earlier that the average Iraqi crude oil exports for the month of July exceeded 3 million 303 barrels per day, while oil exports for the same month achieved financial revenues of more than 10 billion and 608 million dollars, at an average price of more than 103 dollars per barrel.

In a related context, the oil expert, Sadiq Al-Rikabi, said in a statement to (Al-Mada), that "the last increase in Iraq's production, according to (OPEC Plus), was by 71 thousand barrels."

Al-Rikabi continued, "Iraq's production before the last decision had reached 4 million and 580 thousand barrels per day."

He pointed out that "the recent decision of the international organization to increase 100,000 barrels per day will enable Iraq to increase another 12 thousand barrels," stressing that "Iraq's production will be 4 million and 592 thousand barrels per day, starting from next month."

As for prices, Al-Rikabi replied, that they are currently around “103.70 dollars per barrel, but I expect it to be slightly less than that in the coming period, especially with the decline in oil prices globally.”

For his part, the economist, Rashid Al-Saeed, told Al-Mada that "oil prices had risen to more than $130 a barrel, but they have now fallen to the level of $100 or less."

Al-Saeed added, "Changing oil prices according to the general principle should be subject to supply and demand, but what is happening today is that prices are governed by speculation in the markets."

He pointed out, "The Organization of Petroleum Exporting Countries (OPEC) has also become a victim of price manipulation by companies, banks and owners of storage capacities, but also from countries and international agencies."

Al-Saeed finds, "The oil-exporting countries are not the first beneficiary of the price hike, but may be the only victim."

And he stressed, "The prices of goods and their source are industrialized countries will rise insanely at all times."

Al-Saeed continues, "The total revenues of the Organization of the Petroleum Exporting Countries (OPEC) between 2004 and 2008 amounted to $3.346 trillion," adding that "the revenues of the industrialized countries during the same period from taxes on sales of petroleum products amounted to $3.428 trillion."

The “OPEC +” group approved an increase in oil production by 100,000 barrels per day, starting next September, which gives the market additional supplies, but at a much slower pace than in recent months. The group's ministers supported the proposal of the slight increase in an online meeting, last Wednesday, and (OPEC Plus) had pledged in July-August to add more than 600,000 barrels per day to the market.

This increase may not be a relief to consumers who are already suffering from inflationary pressures due to high oil prices, according to the US Bloomberg Agency. The planned increase is equivalent to only 0.1% of global demand for oil.   LINK

Russia Replaces Saudi Arabia And Iraq And Becomes The Largest Exporter Of Oil To India

Energy   Economy News-Baghdad     On August 5, Russia overtook OPEC+ ally Saudi Arabia to expand its market share in one of the largest importers of crude oil, despite increased demand for fuel in India and higher crude oil prices in the international market.

Russian barrels were less expensive than Saudi barrels in the April-June 2022 period, and supplied India with crude that expanded to about $19 a barrel in May. Russia even overtook Iraq to become India's second largest supplier in June .

India and China embraced Russian crude after the invasion of Ukraine causing most importers to shun its barrels. India imports 85 percent of its oil from Russia to provide some economic relief during high inflation and record trade deficits . According to what was translated by "Economy News" from the equitypandit website .

Government statistics show that the cost of India's oil imports rose to $47.5 billion in the second quarter due to rising global prices and demand for fuel. In the same quarter of 2021, when prices and volumes were lower, it was $25.1 billion. Oil prices have fallen recently due to concerns about a slowing economy, bringing relief to consumers .

Although the spread between Russian and Saudi crude prices narrowed in June, crude oil was still about $13 cheaper, with an average cost of about $102. Incidentally, Saudi Arabia was India's largest supplier of crude oil in 2021, while Russia ranked ninth .

During June of this year, Iraq continued to be India's largest supplier of crude oil. The price of Iraqi crude oil, a supplier of OPEC, was nearly $9 a barrel, more expensive than the price of a Russian barrel in May, but was cheaper in all other months. India's imports from Russia have increased tenfold since March .

70 . views   Added 08/07/2022 - 9:30 AM   Update 08/07/2022 - 1:19 PM  

https://economy-news.net/content.php?id=29186

Iraq's Oil Exports To America Amounted To Nearly 10 Million Barrels In A Month

Energy     Economy News _ Baghdad  Today, Sunday, the US Energy Information Administration announced that Iraq's oil exports to America amounted to nearly 10 million barrels last July.

The administration said in its schedule, which was reviewed by "Economy News", that "Iraq exported 9.982 million barrels of crude oil to America during the month of July, at a rate of 322 thousand barrels per day," up from the month of June, in which Iraqi oil exports to America amounted to 8.190 million. barrels at a rate of 273,000 barrels per day.

And she added, "Iraq exported crude oil to America during the first week of July at a rate of 302 thousand barrels per day, while an average of 454 thousand barrels per day was issued in the second week, and an average of 165 thousand barrels per day was exported in the third week," noting that "the exports of the fourth week amounted to 369,000 barrels per day.

The US Energy Information Administration stated that "Iraq ranked fourth in its exports to America during the past month, after Canada, Mexico, and Saudi Arabia, and the second Arab country after Saudi Arabia, whose exports to America reached 14 million, and 663,000 barrels per day," noting that "Canada It ranked first as the most oil-exporting country to America, followed by Mexico."

Views 102  Added 08/07/2022 - 9:49 AM  Update 08/07/2022 - 1:21 PM

https://economy-news.net/content.php?id=29189

Iraq Imports Gemstones And Precious Metals From Turkey With More Than One Billion Dollars, And An Expert Comments

Shafaq News/ Iraq imported various precious stones and minerals from Turkey with a value of more than one billion dollars during the past year 2021, according to the trade map website, which provides a map of countries' trade for exports, imports, international demand, alternative markets and competitive markets.

The site mentioned in a statistic published on its website and seen by Shafak News Agency; "Iraq imported from Turkey during the past year 24 items of goods with a value of 11.131 billion dollars," noting that "these imports grew by 5% between 2017 to 2021."

He added that "precious stones and precious metals came first in Iraq's imports from Turkey, with a value of 1.421 billion dollars, followed by plastics and its products, with a financial value of 643 million dollars, followed by machinery and mechanical devices, with a value of 588 million dollars, followed by furniture and furnishings with a value of 555 million dollars, flour products with a value of 555 million dollars. It amounted to 531 million dollars.

He added that machinery, electrical equipment and its parts came sixth with a financial value of 498 million dollars, iron and steel factories came with a value of 472 million dollars, meat and its products came with a value of 424 million dollars, and grain, flour, starch or milk preparations came. And pastry products with a value of $406 million, while the last Iraqi imports from Turkey came with the lowest value being stone or plaster and cement products, with a value of $150 million.

For his part, the economic expert, Hilal Al-Tahan, said in an interview with Shafak News Agency; The "occupation of precious stones and precious metals in the first place in Iraq's imports from Turkey is a natural matter due to its high price, especially with regard to gold and platinum and its works in the form of medals, coins and other forms.

He added that "Iraq also imports large quantities of food products, but the table distributes these products among varieties of meat, flour and other agricultural products, and therefore they are distributed in the table without occupying higher ranks in terms of value," noting that "Turkey has become the most importing country." Iraq and thus compete with Chinese products in the local markets due to their quality and somewhat appropriate prices."    LINK

The Stability Of Gold Prices In The Baghdad Markets

Shafaq News/ "Foreign and Iraqi" gold prices stabilized in the local markets in the capital, Baghdad, today, Sunday (August 7, 2022).

Shafak News Agency correspondent said that gold prices in the wholesale markets on Al-Nahr Street in the capital, Baghdad, recorded this morning, the selling price of one weight of 21 karat of Gulf, Turkish and European gold is 369 thousand dinars, and the purchase price is 365 thousand, which are the same prices that were recorded yesterday, Saturday morning.

Our correspondent indicated that the selling price of one 21-carat weight of Iraqi gold was also stable at 329 thousand dinars, and the purchase price amounted to 325 thousand.

With regard to gold prices in the jewelers’ shops, the price of selling a weight of Gulf 21-carat gold ranges between 370 thousand and 380 thousand dinars, while the selling price ranged from an Iraqi gold weight between 330 thousand and 340 thousand dinars.

It is equal to one mithqal of gold (five grams).    LINK