India and Iran recently agreed to a 10-year partnership to develop and manage Iran’s Chabahar port. This move, led by Prime Minister Narendra Modi’s government, aims to strengthen relations between the two countries.
The Chabahar port, located on Iran’s southeast coast along the Gulf of Oman, is vital for transporting goods to Afghanistan and Central Asia, providing an alternative route to Karachi and Gwadar ports. Despite facing delays due to US sanctions on Iran, the agreement underscores the port’s importance in improving trade connectivity in the region.
Valued at $370 million, the deal involves investments from Indian Ports Global Limited (IPGL) and financial assistance totaling $250 million.
The partnership is expected to enhance trade ties between India and Iran, with the Chabahar port serving as a key hub for regional transit development. Indian Foreign Minister S Jaishankar expressed confidence that this agreement would encourage further investment in the port, strengthening bilateral cooperation between India and Iran.
