Iran urges Arab countries to impose oil embargo on Israel

Iran's foreign minister Hossein Amirabdollahian has called on Islamic countries to impose an oil embargo on Israel and dismiss Israeli ambassadors as a response to the growing conflict between Israel and Hamas, its state-owned media agency IRNA reported.

PHOTO: The flags of Israel and Iran. Getty Images

Amirabdollahian made these remarks at an urgent Organization of Islamic Cooperation (OIC) meeting held in Jeddah, IRNA reported. Iran has also accused Israel of the recent bombing of a hospital in central Gaza. However, Jerusalem has denied any involvement and instead blamed Hamas for the incident.

The oil market has been under severe speculation of supply turmoil due to the ongoing conflict in the Middle East. Oil analysts are speculating on an even tighter market condition in 2024 due to supply cuts coupled with the growing tension in the Middle East.

Oil prices are reacting to the news that Iran’s oil minister is calling for an oil embargo, “almost 50 years to the day of the first Arab oil embargo,” said Price Futures Group’s senior market analyst Phil Flynn.

“While it is very unlikely that other nations will join in Iran’s call for an embargo, even talk of such a move puts focus on Iran’s oil production and exports which are at grave risk of being taken out of the reliable supply mix,” he further added.

Meanwhile, the Organization of the Petroleum Exporting Countries (OPEC) and its allies have no plans to act or take any immediate action after Iran’s call for the oil embargo on Israel. Reuters cited a source familiar with the matter. “OPEC was not a political organization,” Reuters quoted the source saying.

According to cargo tracker Vortexa, Israel has imported 138,000 b/d of crude oil so far this month. Imports from Nigeria accounted for 43% of Israel's total imports this month, followed by Russia (31%) and Gabon (26%).

The conflict between Israel and Palestine’s Hamas militant group began with the launch of an unprecedented multi-faceted assault on Israel from Palestine’s Gaza Strip on 7 October, also marking the 50th anniversary of the Yom Kippur War.

Iran’s foreign minister has condemned Israel’s retaliation to the attack and accused it of causing “war crimes and genocides,” IRNA added.

By Aparupa Mazumder 

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