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Iran hopeful of finalizing Chabahar agreement with India

  • By Al Mayadeen English
  • Source: Agencies
  • 30 Aug 2023 12:48
2 Min Read

Chabahar is regarded as a door for India to access Central Asian markets, and in light of that, India invested $85 million in 2016 for its development with a $150 million line of credit.

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  • A cargo ship is docked during the inauguration ceremony of the newly built extension in the port of Chabahar on the Gulf of Oman, southeastern Iran, near the Pakistani border, December 3, 2017. (AP)
    A cargo ship is docked during the inauguration ceremony of the newly built extension in the port of Chabahar on the Gulf of Oman, southeastern Iran, on December 3, 2017 (AP)

Hopes and expectations were up and positive as Iranian Foreign Minister Hossein Amir-Abdollahian expressed positive feelings about finalizing a long-awaited agreement with India on the development of Iran’s port city of Chabahar. 

On Tuesday, after convening with Iran’s Ambassador to New Delhi Iraj Elahi, Amir-Abdollahian was briefed on the cooperation progress between India and Iran, in addition to intentions to schedule a meeting of the Joint Economic Commission in the near future.

Amir-Abdollahian underlined India's significance in Iran's policy of orientation to the East, as he urged for more efforts to expedite the establishment of joint ventures and projects.

He stated that India serves as an influential connection in the North-South international corridor, and expressed appreciation for India’s support toward Iran's BRICS membership.

Read next: Indian PM, Iranian President discuss developing bilateral ties

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This year, India supplied six gantry cranes worth almost $25 million for the development. 

Located in southeastern Iran, Chabahar is regarded as a door for India to access Central Asian markets, and in light of that, India invested $85 million in 2016 for its development with a $150 million line of credit.

Developments were for a period stalled due to Western sanctions against Iran.

Back in 2013, India pledged $100 million to develop it, and following the 2015 nuclear deal between Iran and the permanent members of the UN Security Council plus Germany, matters progressed further. 

Additionally, Indian Railways' IRCON unit and Iranian Railways' Construction and Development of Transportation Infrastructures Company struck an agreement in 2016 to build the Chabahar-Zahedan Railway.

Back in May, after meeting with Indian National Security Advisor Ajit Kumar Doval, Iranian President Ebrahim Raisi stated that both Iran and India "can have more influence in shaping the new world order by enhancing their cooperation to a new level."

Raisi also reiterated his commitment to expanding the bilateral relations in the economic and trade sectors, further noting the extent of how much "regional and international organizations, especially the Shanghai and BRICS, can play a much more effective role given their considerable power and resources."

  • India
  • Hossein Amir-Abdollahian
  • Chahbahar Agreement
  • Iran

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