Iran and India Strengthen Economic Ties in Chabahar Region

Iran is considering possible investments by India in the Chabahar region following the signing of a long-term deal allowing India to operate the Chabahar port. The acting Consul General of Iran in Mumbai sees the port deal as a significant development in Iran’s relationship with India, describing it as potentially a turning point in their relations. The agreement, signed between Indian Ports Global Limited and the Port & Maritime Organization of Iran, replaces a previous pact and is expected to enhance trade between India and Central Asia.

The Chabahar port holds strategic importance for both India and Iran, and the Iranian diplomat believes that India’s maritime technology and expertise make it an ideal partner to manage the port. Additionally, he sees the port deal as an opportunity for investments in the Chabahar area, which could benefit both countries. The diplomat emphasized that the partnership could potentially usher in a new era in relations between India and Iran.

The Chabahar port, located on the Gulf of Oman, will serve as a vital gateway for Indian goods to reach Afghanistan and Central Asia via the International North-South Transport Corridor, circumventing Pakistan. This connectivity project, initiated by India, Iran, and Russia, aims to provide direct access to landlocked Central Asian countries. By diversifying trade routes and supply chains, the Chabahar port deal is expected to benefit not only India but also other South Asian countries and ASEAN nations.

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