Oil Export of Iraq Increased in July 2016

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Iraq is the first country of the world that is facing worst security situation but yet it is increasing its oil export in the international oil market. It shows the commitment of Iraq to enhance the oil production and oil export in the market. The recent figured show that despite of poor security situation in the country, the oil production and export of Iraq in the international market increased in the July.

The average oil production and export of Iraq in June 2016 was 3.18 million barrels per day that increased in July to 3.28 million barrels per day. The trade ministry of Iraq considered it as good news for Iraq and its economy. Iraq considers Saudi Arabia as its competitor in the market and looking to defeat it in 2018 in the production and export of crude oil in the international market.

Though the target is so difficult yet the country is so committed to handle this task. All of its strategies are designed to achieve that goal said trade minister of Iraq in his press statement. The experts believe that defeating Saudi Arabia in the oil industry will be a very big challenge for Iraq as it is number one oil producer and exporter in the world. The average oil production and export of Saudi Arabia in the international market is 7 million barrels per day.

Iraq Oil Exports

The average production and export is expected to increase in next two years because of new oil contracts with the different companies of the world to enhance the capacity of oil fields to produce more oil. The poor infrastructure of Iraq is the major cause of low production of oil in the market. The infrastructure of Iraq is ruined by the recent war against ISIS militants. The roads, bridges, electricity and other means of transportation and communication are badly affected by the war in the country.

Iraq is looking to enhance and rebuild its infrastructure so fast but it cannot do it alone. A huge finance is needed to rebuild everything in the country. UNO is helping Iraq to rebuild its roads and bridges to rehabilitate its infrastructure to the pervious stage but it will take time. A donor conference was also held in Washington DC in the favor of Iraq. The donor countries pledged Iraq $2.1 billion to rebuild its infrastructure and to support IDPs in the country.

This finance will be useful to handle the present situation in the country. Moreover, Iraq government has passed a special resolution to give special powers to the governors of every province in the Iraq to sign a contract in the favor of the country without prior permission of the government.

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