Iran's Proposals to India for the Development of Chabahar Port

Gholamreza Ansari, Iran's ambassador to India, stated that Hassan Rouhani has proposed that India take on a larger role in the infrastructure operations and expansion of Chabahar Port. The Iranian ambassador to India told Reuters that this proposal was made during a meeting between the Iranian president and the Indian prime minister at a summit in Russia, prior to reaching a nuclear agreement. The Chabahar port project costs about $8 billion and is strategically very important for India. Mr. Ansari said, 'The potential for cooperation between Iran and India is very high, but we are facing a wall of sanctions and American pressures.' He added, 'Soon, with the lifting of sanctions, a golden opportunity will arise for India, as both Iran and India have close trade relations and many common interests in improving transportation links in Central Asia.' The Iranian ambassador mentioned that there are common points in the policies of the Indian prime minister and Iran's policies, which is why they proposed an $8 billion connectivity project to them. According to Reuters, these proposals were reportedly made during the meeting between Hassan Rouhani and Narendra Modi, the Indian prime minister. There has been no report on Mr. Modi's response to Hassan Rouhani's proposal. The Indian Ministry of External Affairs has also declined to comment or respond to this news. Iran and India reached an agreement in 2003 to expand Chabahar Port, but the project has progressed very slowly due to sanctions against Iran. Despite American pressures on India to reduce oil purchases from Iran, the relations between the two countries have remained friendly. About three months ago, Nitin Gadkari, India's Minister of Shipping, met with Abbas Akhoundi, Iran's Minister of Roads and Urban Development, and signed a contract worth $85 million to lease two ship berths at Chabahar Port. According to the Iranian ambassador to India and based on the new proposal, India could also build the second and third terminals in Chabahar and participate in the construction of the connecting railway in Iran. India has previously acted slowly in the expansion of the Farzad gas field. According to Mr. Ansari, Iran's priority for the expansion of the Farzad B gas field is still India, but New Delhi needs to expedite its efforts.