Iran and India have concluded multi-year negotiations for the Chabahar Port Project Deal. As a result, Tehran and Delhi are said to soon ink a multi-year agreement. This in turn will give India the greenlight to further develop the Shahid Beheshti Terminal at Chabahar Port.
Back in 2016, Arya Banader of Iran and India Ports Global Ltd (IPGL) inked a collaborative contract for the port’s development. India, through the project, is reported to envision it as a gateway access into Central Asian markets. In 2013, India pledged a total of $100 million towards its development. In addition to an earlier $85 million commitment from India for its development. The amount was accompanied by $150 million in credit. Additionally, the Chabahar Port Project received an allocation of ₹100 crore from the Finance Ministry.
Negotiations For Chabahar Port Project Deal Development
An official statement reveals that the Chabahar Port Project Deal agreement will be signed by September this year. Further official sources reveal that the sighing will take place before the Global Maritime India Summit 2024, which will be held in October in New Delhi. The Shahid Beheshti Port’s development will be through a total of four phases. Its present capacity stands at 2.5 million tons annually. However, upon completion of the first phase, its capacity will observe an increase to 7 million tons per year (MTPA). Quite impressively, the completion of all its four planned phases will potentially boost the port’s capacity to 82 MTPA.
As a whole., experts state that the project will contribute to a significant increase in cargo handling quantity. In extension, the port is revealed to receive a link connection to the region’s rail network. The Chabahar-Zahedan railway line, of which India is involved in its construction, will stretch 700 kilometers. In 2016, an agreement between Iranian Railways’ Construction and Development of Transportation Infrastructure Co. and India Railways’ IRCON unit signed a contract to build the line.