Iran's rapid attack on Haifa: Strategy to break Israel's economic backbone, India's Adani connection exposed

Tehran/Haifa: The ongoing war between Israel and Iran has brought the Middle East to the brink of war. Iran launched a series of attacks on Israel's major port city Haifa with ballistic missiles and drones on June 14 and 15, causing heavy damage to Haifa's Bajan oil refinery. According to a BBC report, 24 people died in Israel in these attacks, including a woman killed and 13 injured in Haifa's Tamra city. But the question is, why is Iran repeatedly targeting Haifa, and what is its connection with India?

Strategic and economic importance of Haifa

Haifa is Israel's major industrial and port city, which is considered the economic backbone of the country. It is Israel's largest port, which is a center for oil export and import. According to a News18 report, Haifa's Bajan oil refinery not only meets 60% of Israel's oil needs but is also important for exports. Apart from this, Haifa has research and development (R&D) centers of tech giants like Intel, Google, IBM, and Microsoft, giving it Silicon Valley-like importance.

According to senior Jerusalem journalist Harendra Mishra, "Iran is targeting those cities which have the highest strategic and economic importance. Jerusalem was left out due to its religious importance, but Haifa's economic and strategic importance makes it a major target for Iran." Iran's strategy is to weaken Israel's economy and disrupt oil supplies, increasing global pressure. The attack on Haifa disrupted refinery operations, causing global oil prices to rise 1% to $80 a barrel.

Haifa's India connection: Adani's role

Haifa port is being managed by India's Adani Group since 2022. Adani Ports and Special Economic Zone Limited (APSEZ) bought Haifa Port for $1.2 billion, which was considered a significant move in India-Israel relations. The port is part of the India-Europe Trade Corridor (IMEC), which connects India to the Middle East and Europe. Some posts on X claimed that Iran's attack on Haifa indirectly targets India's interests, as the Adani Group operates the port. However, this claim was not officially confirmed.

Haifa port is strategically important for India, as it, along with Chabahar port, provides India trade access to the Middle East and Europe. Iran's attack on Haifa has put this strategic project of India at risk. Moreover, the fear of disruption of oil supply due to the attack on Haifa refinery has increased the pressure on the prices of petrol-diesel and LPG in India.

Iran's strategy and counter-attacks

Iran cited Israel's June 13 attacks, which destroyed Tehran's Defense Ministry, Natanz nuclear facility, and Bushehr oil depot, as the reason behind targeting Haifa. According to Iranian state news agency IRNA, these attacks killed 224 people, including 20 military commanders and 6 nuclear scientists. Iran claimed that its attack on Haifa's oil refinery was "successful", and was part of a strategy to weaken Israel's economic and military strength.

Iran used advanced technology to make its missiles and drones dodge Israel's Iron Dome. A post on X claimed the Iron Dome had “completely failed”, but the Israeli military said 90% of the missiles were destroyed mid-air. A missile hit a two-story building in Tamra, Haifa, causing damage, raising questions about the accuracy of Iran’s missiles.

Broader impact on India

The attack on Haifa has raised several challenges for India:

1. Oil prices and inflation: A 1-2% rise in global oil prices could lead to a rise in petrol-diesel and cooking gas prices in India. India is dependent on imports for 85% of its oil needs, and 50% of oil supplies from the Middle East could be affected.
2. Chabahar port and IMEC: India’s Chabahar port in Iran is a strategic project, providing access to Afghanistan and Central Asia. The war could affect the operation of Chabahar, and delay the IMEC project.
3. Economic impact: The Indian rupee tumbled to 86.30, and the stock market saw a decline of 2%. Adani Group shares could also be affected, as Haifa Port is one of their major projects.
4. Diplomatic challenge: India has maintained good relations with both Israel and Iran. External Affairs Minister S. Jaishankar appealed to both countries to exercise restraint, but an escalation of the war could put pressure on India's neutrality.

Global and regional scenario

The attack on Haifa has raised the risk of war in the Middle East. Iran has threatened to close the Strait of Hormuz, which could put global oil supplies in jeopardy. Iran-backed groups such as Hezbollah and Houthi rebels have also stepped up attacks on Israel, increasing regional instability. The US supported Israel, but President Donald Trump said the attack was a "unilateral act by Israel."