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Indian Official Stresses Importance of Iran’s Chabahar Port

By Nigar Bayramli February 13, 2025

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Chabahar Port is located in Iran's southeastern province of Sistan-Baluchestan, near the Gulf of Oman. It consists of two ports, Shahid Kalantari and Shahid Beheshti, each with five berths. / Wikimedia Commons

A senior Indian foreign ministry official has emphasized that the development of Chabahar Port aligns with India and Iran’s shared strategic interests.

“Regional connectivity has been an important pillar of India-Iran relations. The development of the Chabahar port in southeastern Iran reflects our joint vision for connectivity for mutual benefits,” Secretary (East) of India’s Ministry of External Affairs, Jaideep Mazumdar, said ahead of Indian Prime Minister Narendra Modi’s upcoming meeting with US President Donald Trump in Washington on February 13, according to The Times of India.

The official’s remarks follow the US decision last week to reinstate its “maximum pressure” campaign on Iran, aimed at denying it all paths to a nuclear weapon and countering its “malign influence” abroad. On February 4, President Trump signed a memorandum instructing the Secretary of State to modify or rescind sanction waivers, particularly those providing Iran “any degree of economic or financial relief, including those related to Iran’s Chabahar port project.”

During his first term in 2018, Trump granted Chabahar Port – located in Iran’s southeastern Sistan-Baluchestan province – an exemption from US sanctions, recognizing its critical role in Afghanistan’s reconstruction efforts.

The Indian official also highlighted the port’s capacity to boost regional trade and its humanitarian significance in facilitating aid to Afghanistan, noting that it had enabled the “humanitarian supply of 2.51 million tons of wheat and 2,200 tons of assistance to Afghanistan.”

Meanwhile, following the US decision to include Iran’s Chabahar Port in its sanctions list, the Taliban’s Ministry of Trade and Industry has stressed the need to diversify Afghanistan’s trade and transit routes.

In November 2023, Mullah Abdul Ghani Baradar, the Taliban’s Deputy Prime Minister for Economy, led a high-level delegation to Iran, focusing on expanding trade relations and securing port access. This visit came amid rising tensions with Pakistan, which has historically been Afghanistan’s primary transit and trade partner.

After a Pakistani Taliban attack on a border post in September 2023, Pakistan launched a crackdown on undocumented Afghans, deporting over 800,000 people to Afghanistan. It also tightened trade restrictions on the landlocked country to pressure the Taliban.

Demonstrating its commitment to diversifying trade routes beyond Pakistan, the Taliban government declared a $35 million investment in 2024 to upgrade Iran’s port infrastructure. This investment deal has significantly strengthened Iranian ports as key transit and trade hubs for Afghanistan.

Indian Prime Minister Narendra Modi previously discussed the role of Chabahar Port in enhancing connectivity with Central Asia and developing the International North-South Transport Corridor (INSTC) during talks with Iranian President Masoud Pezeshkian in Russia.

India and Iran signed an MoU in 2015 to facilitate India’s participation in developing the port. In May 2023, Indian Ports Global Limited (IPGL) and Iran’s Port & Maritime Organisation signed a contract to equip and operate the Shahid Beheshti terminal of the port for the next 10 years. The agreement commits IPGL to investing approximately $120 million, with an additional $250 million in financing.

The port offers India significant trade opportunities with Afghanistan and Central Asia while providing an alternative, reliable access route to Afghanistan that bypasses Pakistan.

The Indian government emphasizes that the port’s location along the Arabian Sea provides a strategic advantage, reducing risks associated with potential disruptions in the Persian Gulf and the Strait of Hormuz.

Iran’s ambassador to India, Iraj Elahi, stated on February 10, “Our economic ties are growing in many fields. Last year, Iran and India signed a long-term agreement to run the Chabahar port, known as the ‘golden gateway’ to connect nations along the Indian Ocean with Central Asia and the Caucasus.”

“Cooperation through the International North-South Transport Corridor is another key example of the strong partnership between our countries,” he added.

Analysts suggest that the port could serve as a bargaining chip for Trump, who may use it to reduce India’s $32 billion trade surplus with the US. Trump has accused his predecessor, Joe Biden, of failing to enforce sanctions rigorously and has argued that Iran’s oil sales have been funding nuclear ambitions and armed militias in the Middle East. Meanwhile, Iran’s Supreme Leader, Ayatollah Ali Khamenei, has denied these claims and ruled out any negotiations “with such a government” in the US.