PM to sign contract on Chabahar port in Iran

New Delhi

Indian Ports Global Pvt Ltd will sign a contract with Arya Bandar Company of Iran for developing two terminals and five multi-cargo berth in Phase-1, said Gopal Baglay, Joint Secretary (Pakistan-Afghanistan-India) in the Ministry of External Affairs. Signing of the contract for Chabahar will be the highlight of Modi’s two-day visit to Iran during which he will meet Supreme Leader of Iran Ali Khamenei and President Hassan Rouhani.

Indian investment in the Phase-1 of the project would be in excess of USD 200 million.

“The visit of PM Modi to Iran will mainly focus on connectivity and infrastructure, energy partnership with Iran, boosting bilateral trade, promoting regular consultation on peace and stability and encouraging people to people contract,” he said.

Chabahar in southeast Iran will help circumvent Pakistan and open up a route to landlocked Afghanistan where New Delhi has developed close ties and economic interests.

The two nations had in 2003 agreed to develop Chabahar on the Gulf of Oman outside the Strait of Hormuz, near Iran’s border with Pakistan. But the project moved slowly because of western sanctions against Iran. The sanctions were lifted in January and since then India has been pushing for conclusion of an agreement.