All might not be well as far as SAFTA between India and Pakistan is concerned but With Pakistan deciding to import lube oil from India, state-owned Indian Oil Corporation Ltd is now exploring options to increase retail sales in the country.

According to IndianOil Chairman and Managing Director Sarthak Behuria, The first cargo of 4,886 MT was shipped out from Haldia on July 6 and the second of around the same quantity is being negotiated and is expected to be shipped in August.

IndianOil is looking forward to more exports to Pakistan once its Panipat refinery starts functioning at its full capacity of 12 million MT in a couple of months.

IndianOil had offered to export 325,000 MT of diesel through Karachi port and Wagah border to Lahore and Jhelum, respectively during October 2005 to March 2006.

Pakistan imports 4.5-5 million MT of diesel every year at its Karachi port from Kuwait. Diesel from India could be cheaper and imported directly on land through pipeline or rail-road from Panipat refinery. IndianOil that has recently started petrochemicals facility at Panipat also wants to export petrochemicals to Pakistan.