Honorable Jungibaaz,
As I understand it, This is a 3.0 tons per year 10-year contract with slightly lower prices. Since it was signed only last Friday, I do not know the exact price; rumors are that the selling price is at 10.2% of the Brent. Should this be true, the new price is indeed about 10% cheaper than the 2016 contract.
We must remember that the 3.75-million tons per year 2016 contract was signed before the sharp decrease in the worldwide energy demand resulting from the Covid-19 shut-downs. Therefore shouting from the top of the roof about the savings compared to the previous contract is no more than simple propaganda.
Anyone with any experience of trading in commodities would know that no ‘Charity’ is involved the international contracts. The seller always wants the highest price whereas the buyer aims for the lowest. The outcome is determined by the prevailing market conditions. I don’t deny that Nadeem Baber is a competent negotiator and has done a good job in 2021, but Shahid Khaqan Abbasi had also done equally well in 2016.
I get the impression that the PTI gov’t carries a ‘Chip’ on its shoulders and therefore is continuously trying to prove that they are better than the previous gov’t. In my humble opinion, neither Nadeen Baber nor Shahid Khaqan Abbassi deserves kudos because both had the responsibility to get the best deal for their country.