Indian prime minister visits Iran to sign Chabahar port agreement
Leaders from India, Iran and Afghanistan are due to meet in Tehran today to sign a trilateral agreement to develop Chabahar port in southeastern Iran, sealing discussions that have been ongoing for around 13 years.
Indian prime minister Narendra Modi is in Iran for a two-day visit and today met with Iran’s president Hassan Rouhani to discuss trade, energy and strategic ties, reports say. He will also meet Iran’s supreme leader Ayatollah Khamenei.
Mumbai’s Jawaharlal Nehru Port Trust will take a 60% equity in the Indian special purpose vehicle that will develop Chabahar port. Kandla Port Trust (KPT) will hold the remaining equity. In 2014, India said it had set aside $100m to invest in the development. A direct shipping line is being planned to link Chabahar with Mumbai ports in India.
The strategically positioned port will link the Indian economy to central Asia, specifically Afghanistan, bypassing Pakistan. The port itself will allow access for container vessels of over 1,500 teu.
Salman Khurshid, India’s foreign minister, said in early 2014 that India is considering using Chabahar Port as direct access to western Afghanistan for “evacuation of mineral wealth”, as well as for his country’s exports to central Asia and Iran.
