Dragon’s business plan will fail in Sri Lanka!
Now in Sri Lanka, the war is not over ports but over oil and petrol. The matter is very simple, the country which controls the energy (electricity and fuel) of Sri Lanka will have a real impact on the economy there. Till now China was building big power plants and ports there, but now its eyes are directly on the petrol pumps and oil depots of Sri Lanka. China wants the people of Sri Lanka to buy oil from its companies. But, this time India has also made full preparations to answer China in its own language. India is now going to lay a direct oil pipeline to Sri Lanka in collaboration with the United Arab Emirates (UAE). Recently, during the recent visit of Vice President CP Radhakrishnan to Sri Lanka, there was a serious discussion regarding this big project.
China has now directly entered Sri Lanka’s retail market
China’s way of working has changed. Earlier he used to give loans and build big structures, like he built coal power plants. But now the Chinese company ‘Sinopec’ is setting up its refinery in Hambantota. What’s more, China has now directly entered the retail market of Sri Lanka. From a business point of view, China no longer wants to be just a supplier, it wants to capture the entire market. He wants oil to be produced in Sri Lanka in his own refinery and also sold at his own petrol pumps. Even if there is a delay in the construction of this refinery, China’s control over petrol pumps will give it deep penetration into the everyday life of Sri Lanka.
India’s ‘masterstroke’, now oil will reach directly through pipe
While China is trying to capture the market by opening petrol pumps, India has made a masterstroke of taking over the ‘supply chain’ i.e. the entire supply line of oil. When Sri Lanka was going through poverty, the Indian company Indian Oil (Lanka IOC) had solved the oil shortage there. Now India is converting this relationship into permanent business. Shipping oil by sea is expensive and risky. Therefore, India is going to lay a multi-product pipeline directly from its refineries to Trincomalee in Sri Lanka. With this, Sri Lanka will get cheap oil 24 hours without any interruption. With this, India will not only become a helper but also the surest business partner of Sri Lanka.
Defeated China with Dubai’s money, game changed with UAE’s entry
United Arab Emirates (UAE) is playing the most important role in this big plan of India. In Trincomalee there is a huge oil tank farm dating back to the Second World War. India and UAE together are making it a global ‘energy hub’. This project includes UAE’s money, its technology and its power in the global oil market. The port of Trincomalee is very close to the sea trade route. In such a situation, with the inclusion of UAE, it is no longer just an India-Sri Lanka project, but is becoming an international hub which will directly give tough competition to Chinese companies. At the same time, Sri Lanka is acting very wisely in this entire business rivalry. It is taking investments from both the countries to bring its economy back on track. It has allowed China to open petrol pumps and is also welcoming the India-UAE pipeline.
Read this also- Petrol tension will end, vehicles running on 85% ethanol will come soon, the government has made this strong plan.
