India and Iran on Monday signed a long-term contract for the operation of the Shahid Beheshti Port terminal at Chabahar in Iran. The contract was signed by India Ports Global Ltd and Ports and Maritime Organisation of Iran in the presence Ports, Shipping and Waterways Minister Sarbananda Sonowal, according to a series of posts on X by the Indian Embassy in Iran.
This is the first time India will take over the management of an overseas port.
Speaking on the occasion, Sonowal said, 'With the signature of this contract, we have laid the foundations of India's long-term involvement at Chabahar.'
Sonowal added that the signing of this contract will have a multiplier effect on the viability and visibility of Chabahar port.
@sarbanandsonwal “Handed over the letter from EAM @DrSJaishankar to 🇮🇷's FM @Amirabdolahian offering a INR credit window equivalent of USD 250 million for Chabahar-related development. Reiterated India's commitment to cooperate with 🇮🇷in developing the Chabahar Port.@MEAIndia pic.twitter.com/ZzqbFfXxyu
May 13, 2024According to him, Chabahar is not only the closest Iranian port to India but it is also an excellent port from nautical point of view. Sonowal also held a meeting with his Iranian counterpart.
Located in Sistan-Balochistan province on the energy-rich Iran's southern coast, the Chabahar port is being developed by India and Iran to boost connectivity and trade ties.
India has been pushing for the Chabahar port project to boost regional trade, especially for its connectivity to Afghanistan. India and Iran have projected the port as a key hub for the INSTC project. The INSTC is a 7,200-km-long multi-mode transport project for moving freight among India, Iran, Afghanistan, Armenia, Azerbaijan, Russia, Central Asia and Europe.
The Ministry of External Affairs had allocated Rs 100 crore for Chabahar Port for 2024-25, underlining India's focus on connectivity projects with Iran.
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