BICOM

A team of inspectors from the UN nuclear watchdog has arrived in Tehran to discuss Iran’s nuclear programme. A report on Iran’s state TV announced the arrival of the International Atomic Energy Agency team but did not give a timetable or agenda for the two-day visit. Herman Nackaerts, a senior UN nuclear official said in Vienna before the team departed on Sunday that he hoped for progress in the talks but hinted that there is little hope Iran will agree to abide by international demands.

Shortly before talks commence, Iran cut off oil sales to Britain and France in a move seen largely as retaliation against tightening EU sanctions. Last month the European Union decided to impose a boycott on Iranian oil, starting from 1 July. Iran responded by threatening to close the Strait of Hormuz, the main Gulf oil-shipping lane.

On Sunday, Iran’s oil ministry went a step further and in a largely symbolic message announced it would stop selling oil to France and Britain.  Nevertheless, several European countries have expressed concern that sanctions on Iran would drive up oil prices, posing significant economic burden on already weak economies. The EU and US have therefore have sought the support of Gulf States in making up the shortfall.